GBP/USD Rallies While GBP/JPY Faces Key Resistance

FXOpen

GBP/USD climbed higher above the 1.1950 resistance zone. GBP/JPY could start a decent increase if there is a clear move above the 163.00 resistance.

Important Takeaways for GBP/USD and GBP/JPY

· The British Pound is slowly moving higher above 1.2000 against the US Dollar.

· There is a key bullish trend line forming with support near 1.2060 on the hourly chart of GBP/USD.

· GBP/JPY is showing a lot of bullish signs above the 161.50 support.

· There is a major trend line forming with resistance near 164.40 on the hourly chart.

GBP/USD Technical Analysis

This past week, the British Pound formed a base above the 1.1800 zone against the US Dollar. The GBP/USD pair started a steady increase above the 1.1880 resistance zone.

There was a clear move above the 1.1920 resistance zone and the 50 hourly simple moving average. The pair even climbed above the 1.2000 resistance. A high is formed near 1.2141 on FXOpen and the pair is now consolidating gains.

An immediate support is near the 1.2100. The next major support is near the 1.2060 level or the 23.6% Fib retracement level of the upward move from the 1.1802 swing low to 1.2141 high.

There is also a key bullish trend line forming with support near 1.2060 on the hourly chart of GBP/USD. If there is a break below the 1.2060 support, the pair could test the 1.1970 support. It is near the 50% Fib retracement level of the upward move from the 1.1802 swing low to 1.2141 high.

Any more losses might send GBP/USD towards 1.1900. An immediate resistance on the upside is near the 1.2140 level. The next major resistance is near the 1.2180 level, above which the pair could start a steady increase towards 1.2250.

An upside break above 1.2250 might start a fresh increase towards 1.2320. Any more gains might call for a move towards 1.2380 or even 1.2450.

GBP/JPY Technical Analysis

The British Pound started a fresh decline from the 164.25 zone against the Japanese Yen. The GBP/JPY pair declined below the 163.50 and 163.20 levels.

There was a clear move below the 162.20 level and the 50 hourly simple moving average. The pair traded as low as 161.55 and the pair is now correcting higher. There was a move above the 162.20 resistance.

The pair even tested the 50% Fib retracement level of the downward move from the 164.23 swing high to 161.55 low. An immediate resistance on the upside is near the 162.80 zone.

The next key resistance could be 163.20. It is near the 61.8% Fib retracement level of the downward move from the 164.23 swing high to 161.55 low. A clear break above the 163.20 resistance could push the pair towards the 164.00 resistance. There is also a major trend line forming with resistance near 164.40 on the hourly chart.

If not, the pair might decline below the 162.20 level. On the downside, an initial support is near the 161.50 level. The next major support is near the 161.00.

If there is a downside break below the 161.40 support, the pair could decline towards the 160.50 support zone in the coming sessions. Any more losses might call for a test of the 159.20 support zone.

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.

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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.

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