Current trend

The GBP/USD pair begins today’s trading with an upward gap. Now the pair is trading above the middle line of the Bollinger Bands (1.29840) suggesting bullish momentum. The level of 1.30005 can be the first hurdle, that can prevent the growth of quotes. However, the decisive break of this level is needed to indicate the upward trend resumption. In this case, the next target of buyers will be the level of 1.30313-1.30615.

Alternative scenario

The rebound from 1.30005 and pullback below 1.29700 will be a signal for downward correction and lead the price back to 1.29395 mark. This mark seems a key level for the sellers in a short term period. There is a chance of an upward rebound around this level, while breakdown and pair' sustained trading below 1.29213 would allow the fall to continue to the area of 1.28784.

Technical indicators

Technical indicators mostly maintain a buy signal.

MACD volumes are decreasing in the negative zone.

Stochastic is pointed upwards, reflecting the high possibility of upward movement formation.

Bollinger Bands are pointed sideways.

Support and resistance

Support levels: 1.29840, 1.29531, 1.29395, 1.29213, 1.28784.
Resistance levels: 1.30005, 1.30313. 1.30615.

Trading recommendations

Short positions can be opened below the level of 1.29700 with the target at around 1.29531-1.29395 and stop-loss at 1.29801.
Long positions can be opened above the level of 1.30005 with the target at around 1.30313 and stop-loss at 1.29905.

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