Market Overview
GBP/USD has recently shown strong bullish momentum, rebounding from a key support level and confirming a potential long-term uptrend. Based on current market structure and technical indicators, we expect the pair to continue higher towards 1.4100 and eventually 1.4700 in the coming months.
📈 Technical Analysis – Why GBP/USD is Bullish?
1. Market Structure & Trend Analysis
✅ Higher Lows and Bullish Breakout – The pair has formed a clear structure of higher lows, signaling a shift from a previous downtrend into an uptrend.
✅ Break of Key Resistance at 1.2920 – GBP/USD has successfully broken above a key resistance level, confirming bullish continuation.
✅ Next Major Resistance Levels at 1.4100 and 1.4700 – The price action suggests an upside target of 1.4100, followed by a long-term potential move to 1.4700.
2. Indicator Confirmation
📌 MACD (Moving Average Convergence Divergence):
🔹 The MACD histogram is turning positive, indicating a shift in momentum.
🔹 A bullish crossover between the MACD and signal line could confirm further upside.
📌 RSI (Relative Strength Index) – Not Overbought Yet:
🔹 RSI is currently in a neutral zone around 55-60, meaning there is room for further upside before reaching overbought conditions.
📌 Supertrend Indicator – Bullish Signal:
🔹 The Supertrend remains in a bullish phase, reinforcing the overall uptrend.
3. Key Price Levels & Market Reactions
Price Level Type Significance
1.2920 Breakout Level Retest zone and key support
1.4100 First Target Significant historical resistance
1.4700 Final Target Long-term bullish objective
📊 Trading Strategy
📍 Bullish Scenario – Buy Dips Towards 1.2920
✅ If GBP/USD holds above 1.2920, buying pullbacks with confirmation signals (bullish candlesticks) is a strong strategy.
🎯 Target 1: 1.4100
🎯 Target 2: 1.4700
⛔ Stop Loss: Below 1.2750 (previous swing low)
📍 Breakout Play – Buy on Momentum Above 1.3100
✅ If GBP/USD gains strong bullish momentum and breaks 1.3100 with volume, a continuation towards 1.4100 becomes more likely.
📍 Bearish Scenario – If Price Fails to Hold Above 1.2920
✅ If GBP/USD falls below 1.2920, we may see a temporary correction back to 1.2600 before another bullish attempt.
📌 Conclusion
📌 GBP/USD is in a strong bullish uptrend and has successfully broken key resistance.
📌 The next major resistance levels are at 1.4100 and 1.4700, which could be reached in the coming months.
📌 MACD, RSI, and market structure support further upside.
📌 Buying pullbacks towards 1.2920 is a favorable strategy, with a stop below 1.2750.
🚀 Summary: GBP/USD is set to rise, and traders should look for buy opportunities targeting 1.4100 and 1.4700 while managing risk effectively.
GBP/USD has recently shown strong bullish momentum, rebounding from a key support level and confirming a potential long-term uptrend. Based on current market structure and technical indicators, we expect the pair to continue higher towards 1.4100 and eventually 1.4700 in the coming months.
📈 Technical Analysis – Why GBP/USD is Bullish?
1. Market Structure & Trend Analysis
✅ Higher Lows and Bullish Breakout – The pair has formed a clear structure of higher lows, signaling a shift from a previous downtrend into an uptrend.
✅ Break of Key Resistance at 1.2920 – GBP/USD has successfully broken above a key resistance level, confirming bullish continuation.
✅ Next Major Resistance Levels at 1.4100 and 1.4700 – The price action suggests an upside target of 1.4100, followed by a long-term potential move to 1.4700.
2. Indicator Confirmation
📌 MACD (Moving Average Convergence Divergence):
🔹 The MACD histogram is turning positive, indicating a shift in momentum.
🔹 A bullish crossover between the MACD and signal line could confirm further upside.
📌 RSI (Relative Strength Index) – Not Overbought Yet:
🔹 RSI is currently in a neutral zone around 55-60, meaning there is room for further upside before reaching overbought conditions.
📌 Supertrend Indicator – Bullish Signal:
🔹 The Supertrend remains in a bullish phase, reinforcing the overall uptrend.
3. Key Price Levels & Market Reactions
Price Level Type Significance
1.2920 Breakout Level Retest zone and key support
1.4100 First Target Significant historical resistance
1.4700 Final Target Long-term bullish objective
📊 Trading Strategy
📍 Bullish Scenario – Buy Dips Towards 1.2920
✅ If GBP/USD holds above 1.2920, buying pullbacks with confirmation signals (bullish candlesticks) is a strong strategy.
🎯 Target 1: 1.4100
🎯 Target 2: 1.4700
⛔ Stop Loss: Below 1.2750 (previous swing low)
📍 Breakout Play – Buy on Momentum Above 1.3100
✅ If GBP/USD gains strong bullish momentum and breaks 1.3100 with volume, a continuation towards 1.4100 becomes more likely.
📍 Bearish Scenario – If Price Fails to Hold Above 1.2920
✅ If GBP/USD falls below 1.2920, we may see a temporary correction back to 1.2600 before another bullish attempt.
📌 Conclusion
📌 GBP/USD is in a strong bullish uptrend and has successfully broken key resistance.
📌 The next major resistance levels are at 1.4100 and 1.4700, which could be reached in the coming months.
📌 MACD, RSI, and market structure support further upside.
📌 Buying pullbacks towards 1.2920 is a favorable strategy, with a stop below 1.2750.
🚀 Summary: GBP/USD is set to rise, and traders should look for buy opportunities targeting 1.4100 and 1.4700 while managing risk effectively.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.