Key Highlights
- GBP/USD started a fresh increase above the 1.2750 resistance.
- A major bullish trend line is forming with support at 1.2670 on the 4-hour chart.
- EUR/USD surged above the 1.0535 and 1.0620 resistance levels.
- Crude oil prices remained in a bearish zone below $68.50.
GBP/USD Technical Analysis
The British Pound formed a base and started a fresh increase against the US Dollar. GBP/USD surged above the 1.2635 and 1.2720 resistance levels.
Looking at the 4-hour chart, the pair gained pace for a move above 1.2750. It even settled above the 1.2750 level, the 100 simple moving average (red, 4-hour), and the 200 simple moving average (green, 4-hour).
It tested the 1.2850 resistance. On the upside, the pair seems to be facing hurdles near the 1.2850 level. The next major resistance is near the 1.2880 level. The main resistance is now forming near the 1.2920 zone.
A close above the 1.2920 level could set the tone for another increase. In the stated case, the pair could even clear the 1.3000 resistance.
On the downside, immediate support sits near the 1.2740 level. The next key support sits near the 1.2680 level. There is also a major bullish trend line forming with support at 1.2670 on the same chart. Any more losses could send the pair toward the 1.2620 level.
Looking at EUR/USD, the pair also started a decent increase and the pair even cleared the 1.0650 resistance zone.
Upcoming Economic Events:
- BoE Interest Rate Decision – Forecast 2.5%, versus 2.75% previous.
- US Initial Jobless Claims – Forecast 235K, versus 242K previous.
