General overview: The pair created the built the strong week highs in the chart. The British pound found fresh buying in the chart. The positive rate influenced the economy to create demand in the market and boosted the major buying opportunity in the market. The pair created the bullish momentum in the chart and the pair creates the strong bullish side in the market. The bulls are forcing the market to create higher highs in the market and the chart is going to create high volatility in the market.
GBP/USD buyers targeting the 1.3800 round-figure seem to wait for a daily closing beyond the key resistance line, currently around1.3780. The bulls are in favor of the market and the strong aggression can be seen towards the buy-side. Bulls breached a strong resistance line and traveled for upside gain in the market.
Technical overview: From the technical point of view we can say bulls are showing their aggression towards the buy-side in the market. While normal RSI conditions and sustained trading beyond 21-day SMA favor bulls, the resistance line of a rising triangle formation established since March 2020 challenge the immediate upside. The bulls are keeping battling as on the daily chart we can see the market making the bullish pairs as well the indicators also create the strong bullish side of the market. On the 4 hourly charts, we can see the market find its breakout level 1.3691 levels. The important EMA line is rising above the SMA lines and gives more conformation to the market for buying. In the daily chart we can see the market trend is higher in the chart. So, the support level is 1.3729 followed by 1.3679 and resistance will be 1.3829 followed by 1.3879.
Trade idea: Traders and investors will invest on buy-side at level 1.3780 and target will be 1.3850-1.3890 and stop loss will be 1.3700.
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