GBP/USD and EUR/GBP: British Pound Could Rise Further

FXOpen

GBP/USD started a strong increase above the 1.2300 resistance zone and it could rise further. EUR/GBP is likely to dip further before it attempts a fresh upward move.

Important Takeaways for GBP/USD and EUR/GBP

  • The British Pound gained traction and rallied above the 1.2350 level.
  • There is a key bullish trend line forming with support near 1.2350 on the hourly chart of GBP/USD.
  • EUR/GBP surged higher above 0.9000 before it faced sellers near the 0.9050 level.
  • There was a break below a major bullish trend line with support near 0.8985 on the hourly chart.

GBP/USD Technical Analysis

In the past few days, there was a decent increase in the British Pound from the 1.2220 support against the US Dollar. As a result, the GBP/USD pair climbed higher and broke many hurdles near the 1.2300 zone.

The pair even settled above the 1.2350 level and the 50 hourly simple moving average. Finally, the pair spiked above the 1.2400 zone and a new intraday high is formed near the 1.2419 level on FXOpen.

GBP/USD Technical Analysis Pound Dollar

It is currently correcting lower and trading near the 23.6% Fib retracement level of the recent rise from the 1.2291 low to 1.2419 high. On the downside, the first major support is near the 1.2360 and 1.2355 levels.

There is also a key bullish trend line forming with support near 1.2350 on the hourly chart of GBP/USD. The trend line is close to the 50% Fib retracement level of the recent rise from the 1.2291 low to 1.2419 high.

If the pair fails to stay above the 1.2350 support, there is a risk of more losses towards the 1.2300 support zone. Any further losses could lead the pair towards the 1.2260 level.

On the upside, an initial resistance zone is near the 1.2400 zone. A successful daily close above the 1.2400 zone could open the doors for a larger upward move towards the 1.2500 resistance in the near term.

EUR/GBP Technical Analysis

The Euro performed really well and it broke many hurdles near the 0.8950 zone against the British Pound. The EUR/GBP pair even surged above the 0.8980 resistance zone to enter a bullish zone.

There was a close above the 0.9000 level and the 50 hourly simple moving average. The pair traded as high as 0.9054 before the pair started a downside correction.

EUR/GBP Technical Analysis Euro Pound

There was a break below the 23.6% Fib retracement level of the upward move from the 0.8881 low to 0.9054 high. Besides, there was a break below a major bullish trend line with support near 0.8985 on the hourly chart.

The pair spiked below the 0.8980 level and the 50 hourly simple moving average. However, the pair found support near the 0.8960 level. The 50% Fib retracement level of the upward move from the 0.8881 low to 0.9054 high also acted as a support.

On the downside, there is a key support forming near the 0.8960 level. Any further losses may perhaps lead the pair towards the 0.8925 support zone.

On the upside, the 0.9020 level is an initial hurdle for the bulls. If there is a break above the 0.9020 zone, there are chances of a push towards 0.9050. Any further gains might call for a test of 0.9100.

Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Stay ahead of the market!

Subscribe now to our mailing list and receive the latest market news and insights delivered directly to your inbox.

Latest articles

BTC/USD Analysis: Price Approaching Key Resistance
Cryptocurrencies

BTC/USD Analysis: Price Approaching Key Resistance

Analysing the long-term BTC/USD chart on 16th May, we created a "roadmap" for Bitcoin's price, which looked like an expanding fan and consisted of a median line with support levels below it and resistance levels above it.

Today, when

MSFT Share Price Dropped After Global Outage
Shares

How Did MSFT Stock Price React To Global Outage?

On 19th July, a global outage occurred. Numerous computers running Windows worldwide experienced "blue screens of death" (BSOD), affecting companies in different sectors, including airlines, hospitals, media, banks, and others.

The outage was caused by a CrowdStrike's Falcon Sensor update,

Market Analysis: GBP/USD Trims Gains While USD/CAD Rallies
Forex Analysis

Market Analysis: GBP/USD Trims Gains While USD/CAD Rallies

GBP/USD started a pullback from the 1.3050 zone. USD/CAD is rising and might aim for more gains above the 1.3735 resistance.

Important Takeaways for GBP/USD and USD/CAD Analysis Today

  • The British Pound started a
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.