Pound Prints Higher High, Is This Time To Buy Cable?

FXOpen

The Great Britain Pound (GBP) inched higher against the US Dollar (USD) on Monday, increasing the price of GBPUSD to more than 1.2950 as bulls seem to gain strength. The technical bias has already turned bullish in short term because of a Higher Low and Higher High in the recent wave. After leaving a couple of bullish pin bars on a monthly chart, cable looks all set to rebound in the long term as well.

Technical Analysis

As of this writing, the pair is being traded near 1.2977. A hurdle can be seen around 1.3000, the psychological number and then 1.3296, the swing high of the latest major upside rally. A break above the 1.3296 resistance will confirm the ongoing bullish bias, validating a move towards the 1.3500 resistance area in the long run.

Pound Prints Higher High, Is This Time To Buy Cable?

On the downside, the pair is expected to find a support around 1.2915, the intraday low of Friday ahead of 1.2865, the swing low of the recent downside move and then 1.2796, the post Brexit low. The technical bias will remain bullish as long as the 1.2865 support area is intact.

US Manufacturing PMI

Activity in the US manufacturing sector registered a larger-than-expected decline in September, amid the slowest expansion of new orders this year, according to the preliminary data released on Friday. In a report, market research group Markit said that its flash manufacturing purchasing managers’ index (PMI) dropped to 51.4 in September from the prior month’s final reading of 52.0. Analysts had expected the index to decrease to 51.9 this month. On the index, a reading above 50.0 indicates expansion, below indicates contraction.

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.

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

Shares

UnitedHealth (UNH) Share Price Plummets

UnitedHealth shares crashed by nearly 23% yesterday after the healthcare giant reported weaker-than-expected Q1 2025 results:

→ Earnings per share: actual = $7.20, expected = $7.29
→ Revenue: actual = $109.5bn, expected = $111.5bn

Technical Analysis of UNH Share Chart

As far

Indices

Stock Markets Consolidate Ahead of the Holidays

A lull is expected on the financial markets today due to a shortened trading week related to the Easter holiday celebrations.

It is reasonable to assume that traders will get a “breather” after a news-heavy April, which caused a volatile

Forex Analysis

The Pound and Euro Reach New Yearly Highs

Despite global economic instability and Donald Trump’s tariff policy, the EUR/USD and GBP/USD currency pairs are demonstrating upward momentum, reaching new yearly highs.

Today, market participants are focused on the European Central Bank meeting, where significant statements

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.