GBP/USD Rises After US Job Data

FXOpen

The Great Britain Pound (GBP) extended upside movement against the US Dollar (USD) on Friday, increasing the price of cable to more than 1.2250 following the release of initial jobless claims news from the United States. The technical bias remains bullish in short term because of a higher high in the recent upside rally.

Technical Analysis

As of this writing, the pair is being traded around 1.2280. A hurdle may be seen near 1.2328, the horizontal resistance area ahead of 1.2672, another major horizontal resistance and then 1.2778, the swing high of the last major upside rally.

GBP/USD Rises After US Job Data

On the downside, the pair is likely to find a support near 1.2200, the psychological number ahead of 1.2111, the horizontal support area and then 1.1916, the swing low of the last major downside move as demonstrated in the given above daily chart. The technical bias shall remain bullish as long as the 1.2082 support area is intact.

US Job Data

The US initial jobless claims came in right on expectations at 265K.  This was down 10K from last week. The four-week average fell slightly to  263K  from 263.75K.

US continuing  claims rose to  2102K  versus 2027K estimate.  Last week continuing claims were revised to  2039K from 2036K.

Trade Idea

Considering the overall technical and fundamental outlook, buying the pair around current levels appears to be a good strategy in short to medium term. Alternatively, selling the pair near 1.2750 could also be a good option. It is always recommended to place tight stop loss and take profit levels for every position.

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

An Important Bullish Pattern Forms on the NIO Share Price Chart
Shares

An Important Bullish Pattern Forms on the NIO Share Price Chart

Today, the share price of NIO Inc. (NIO), a Chinese manufacturer of "smart" electric vehicles, is trading above $4 – a development that may be viewed as an optimistic scenario following the drop to $3 in the first half of April,

S&P 500 Chart Analysis Ahead of the Busiest Week of Earnings Season
Indices

S&P 500 Chart Analysis Ahead of the Busiest Week of Earnings Season

Despite the fact that President Trump’s earlier decision to impose tariffs (at higher rates than expected) shook the stock markets, the S&P 500 index (US SPX 500 mini on FXOpen) could still end April without significant losses

USD/CAD Consolidates
Forex Analysis

USD/CAD Consolidates

In the second half of April, the USD/CAD chart has shown a decline in volatility following significant spikes observed since February.

The Canadian dollar has stabilised against the US dollar within the 1.390–1.380 range over the

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.