empty
 
 
22.02.2021 09:36 AM
Technical analysis of GBP/USD for February 22, 2021

This image is no longer relevant

Overview :

The GBP/USD pair hit 1.4035 last weekly which represents a top price on the H1 chart. The GBP/USD pair bullish potential is intact as the pair trades near an almost 3-year high.

The GBP/USD's pair up trend continued last week and hit as high as 1.4035 initial bias remains on the upside this week.

On the downside, break of 1.3936 minor support (61.8% of Fibonacci retracement levels) will turn intraday bias neutral, and bring consolidations, before staging another rally.

Further rally would be seen to 1.4035 resistance and above. Additionally, the price is in a bullish channel now. Amid the previous events, the pair is still in an uptrend. From this point, the GBP/USD pair is continuing in a bullish trend from the new resistance of 1.4088.

About coronavirus 2019 (COVID-19), noted that the UK government will outline the exit of the current lockdown this week.

The GBP/USD pair is going to continue to rise from the level of 1.3936 or 1.3874 in the long term. It should be noted that the support is established at the level of 1.3936 which represents the 61.8% Fibonacci retracement level on the H1 chart.

The price is likely to form a double bottom in the same time frame. Accordingly, the GBP/USD pair is showing signs of strength following a breakout of the highest level of 1.3936.

So, buy above the level of 1.3936 with the first target at 1.4088 in order to test the daily resistance 1 and further to 1.4132. Also, it might be noticed that the level of 1.4132 is a good place to take profit because it will form a new double top.

On the other hand, in case a reversal takes place and the GBP/USD pair breaks through the support level of 1.3836, a further decline to 1.3680 can occur which would indicate a bearish market.

Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $9000 more!
    In May we raffle $9000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback