GBP/USD Price Analysis: Subdued Despite Climbing Above 1.2700

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  • The GBP/USD currency pair has jumped above the 1.2700 level on softer US data, yet the pair remains sideways.
  • Key resistance emerges at 1.2761, 1.2800, and the year-to-date high near 1.2900.
  • Support is seen at 1.2700, 1.2674, and the confluence of the May 3 high and 100-DMA.

The British pound has erased some of its previous losses against the US dollar before rising around 0.29%, as the GBP/USD currency pair has been aiming above the 1.2700 mark after bouncing off of a daily low of 1.2674. Data from the United States was celebrated by market participants and weighed on the safe-haven peers, like the greenback.


GBP/USD Price Analysis: Technical Outlook

The GBP/USD pair remains in consolidation, as it was stuck within the 1.2670-1.2760 area during the week, unable to decisively breach the range. Still, buyers seem to remain in charge, as depicted by the Relative Strength Index (RSI) standing in bullish territory, yet almost flat.

For a bullish continuation, the major should clear the 1.2760 level, which would expose the 1.2800 figure. Further strength would pave the way to test a year-to-date high of 1.2893, followed by 1.2900.

Conversely, if bears stepped in, they must clear the 1.2700 level and the May 23 low of 1.2674. In that event, the bulls’ next line of defense would be the confluence of the 100-day moving average (DMA) and the May 3 high-turned-support at 1.2634 before the GBP/USD currency pair tumbles to the 1.2600 mark.


GBP/USD Price Action – Daily Chart

(Click on image to enlarge)


GBP/USD Technical Levels


More By This Author:

AUD/USD Tumbles To Six-Day Low And Hovers Around 0.6600
AUD/USD Tumbles Toward 0.6600 After FOMC’s Minutes Ahead Of Aussie PMIs
AUD/USD On The Backfoot, Slides Below 0.6700

Disclaimer: Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only ...

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