GBP/USD Climbs Higher, EUR/GBP Eyes Upside Break

FXOpen

GBP/USD started a recovery wave and climbed above the 1.1750 resistance. EUR/GBP is trading above the 0.8700 support and might eye a fresh increase.

Important Takeaways for GBP/USD and EUR/GBP

· The British Pound started a fresh increase after it broke the 1.1550 resistance against the US Dollar.

· There is a key bullish trend line forming with support near 1.1780 on the hourly chart of GBP/USD.

· EUR/GBP started a decent increase and remained well bid above the 0.8700 support.

· There is a major bearish trend line forming with resistance near 0.8765 on the hourly chart.

GBP/USD Technical Analysis

The British Pound found support near the 1.1350 zone against the US Dollar. The GBP/USD pair started a recovery wave and was able to clear the 1.1550 resistance zone.

There was a decent increase above the 1.1650 level and the 50 hourly simple moving average. The pair even climbed above the 1.1750 level. A high was formed near 1.1852 on FXOpen and the pair is now consolidating gains.

GBP/USD Hourly Chart

On the downside, an initial support is near the 1.1780 level. There is also a key bullish trend line forming with support near 1.1780 on the hourly chart of GBP/USD, below which it could test the 23.6% Fib retracement level of the upward move from the 1.1334 swing low to 1.1852 high.

The next major support is near the 1.1650 level and the 50 hourly simple moving average. Any more losses could lead the pair towards the 1.1600 support zone or the 50% Fib retracement level of the upward move from the 1.1334 swing low to 1.1852 high.

On the upside, an initial resistance is near the 1.1820 level. The next main resistance is near the 1.1850 zone. A clear upside break above the 1.1820 and 1.1850 resistance levels could open the doors for a steady increase in the near term. The next major resistance sits near the 1.2000 level.

EUR/GBP Technical Analysis

The Euro started a steady increase from the 0.8700 zone against the British Pound. The EUR/GBP pair was able to clear the 0.8720 resistance zone to move into a positive zone.

The pair even traded above the 0.8740 level and the 50 hourly simple moving average. The bulls were able to push the pair above the 38.2% Fib retracement level of the downward move from the 0.8828 swing high to 0.8700 low.

EUR/GBP Hourly Chart

On the upside, an immediate resistance is near the 0.8765 level. There is also a major bearish trend line forming with resistance near 0.8765 on the hourly chart.

The trend line is near the 50% Fib retracement level of the downward move from the 0.8828 swing high to 0.8700 low. The next major resistance for the bulls is near the 0.8780 level. A clear move above the 0.8780 resistance might push the price higher towards the 0.8840 level.

On the downside, an initial support is near the 0.8745 level. The next major support is near 0.8700. A downside break below the 0.8700 support might call for more downsides. In the stated case, the pair could decline towards the 0.8640 support level in the near term.

This forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.

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.

forex

Forex Trading with FXOpen

Forex Trading with FXOpen

Experience ECN technology for deep liquidity and light-speed trade execution

  • Access over 50 markets
  • Trade with spreads from 0.0 pips
  • Take advantage of commissions from $1.50/lot
Learn more

Latest articles

Forex Analysis

EUR/USD Breaks 2023 Low

Today’s PMI figures were released and came in worse than analysts’ expectations. The Flash Manufacturing PMI and Flash Services PMI for both Germany and France fell below the 50.0 threshold, indicating that Europe’s economy is slowing down.

Shares

Alphabet Inc. (GOOGL) Shares Drop Over 4.5% in a Single Day

As the chart shows, during yesterday’s trading session, the stock price of Alphabet Inc. (GOOGL), the parent company of Google, declined by more than 4.5%. The drop was driven by regulatory pressure on the company concerning its Chrome

Forex Analysis

Dollar Resumes Gains Amid Weak Rivals and Fresh Economic Data

After a brief correction, the US dollar is back on an upward trajectory. The GBP/USD pair has fallen to 1.2600, USD/CAD has bounced from 1.3940 and is heading towards 1.4000, while EUR/USD is approaching

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.