GBPUSD: Overbought Conidtion Correction start towards 1.3610
GBPUSD pair looked overbought while consolidating around the price-levels of 1.3890/99, Further upside movement may be expected towards the upper limit of the current movement channel around 1.3960/90 where bearish rejection and a possible SELL Entry are suggested. ( Market could start downside correction from 1.3910 to 1.14000)
Short-term outlook can turn bearish if only the GBP/USD pair could break below and maintain movement below 1.3750. If so, a quick bearish decline initially towards 1.3300 to 1.3000 would be expected weekly to monthly base.
Techincally:
Good data on the UK GDP leaves hope for the pound's succeeding growth and further. Therefore, the buyers will initially focus their attention on the resistance at 1.3909, which we have come close to during today's Asian session. Being able to break through this range and consolidation on it, along with testing it from top to bottom in the first half of the day creates a good signal to open long positions in sustaining the bull market. This will open a direct road to the highs of 1.3954 and 1.3993, where I recommend taking profits. A more optimal scenario for buying GBP/USD would be a downward correction to the support area of 1.3862, where forming a false breakout creates a new entry point into long positions. If bulls are not active and we see a rapid rally in the pound, then it is best to postpone long positions until a larger low of 1.3820 has been tested, where the lower border of the new rising channel also passes.
Indicator signals: Moving averages:
Trading is carried out above 30 and 50 moving averages, which indicates a resumption of the bull market.
RSI: Overbought Condition Chart D1 and Weekly
Triple Top: Broken and upside trend hit 1.3910
🛑SUPPORT/RESISTANCE
✅S1= 1.3710
✅S2=1.3540
✴️R1=1.3910
✴️R2=1.4000
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Short-term outlook can turn bearish if only the GBP/USD pair could break below and maintain movement below 1.3750. If so, a quick bearish decline initially towards 1.3300 to 1.3000 would be expected weekly to monthly base.
Techincally:
Good data on the UK GDP leaves hope for the pound's succeeding growth and further. Therefore, the buyers will initially focus their attention on the resistance at 1.3909, which we have come close to during today's Asian session. Being able to break through this range and consolidation on it, along with testing it from top to bottom in the first half of the day creates a good signal to open long positions in sustaining the bull market. This will open a direct road to the highs of 1.3954 and 1.3993, where I recommend taking profits. A more optimal scenario for buying GBP/USD would be a downward correction to the support area of 1.3862, where forming a false breakout creates a new entry point into long positions. If bulls are not active and we see a rapid rally in the pound, then it is best to postpone long positions until a larger low of 1.3820 has been tested, where the lower border of the new rising channel also passes.
Indicator signals: Moving averages:
Trading is carried out above 30 and 50 moving averages, which indicates a resumption of the bull market.
RSI: Overbought Condition Chart D1 and Weekly
Triple Top: Broken and upside trend hit 1.3910
🛑SUPPORT/RESISTANCE
✅S1= 1.3710
✅S2=1.3540
✴️R1=1.3910
✴️R2=1.4000
Please like, share, comments and follow me to get daily base analysis.
Thank you for your support, I appreciate it.
Trade closed: target reached:
We hit +320 pips small pullback 1.4000 and drop again