General overview: The pair is creating higher highs in the market. GBP/USD takes the bids near intraday high as US dollar weakness joins hopes of the easy budget for the UK. Brexit pessimism keeps dragging the bulls surrounding the short-term resistance line. GBP/USD stays on the front foot while refreshing the intraday high with 1.4164, up 0.18% on the day, ahead of Thursday’s London open. Hopes of no major tax hikes and an easy flow of money, be it through fiscal policies, likely from the UK Chancellor or the Bank of England (BOE), favor the cable bulls. Also on the positive side could be the US dollar weakness amid broad risk-on mood and the jump in the Western Treasury yields. The bulls are creating the positive longer side buying as bulls are in the mood of breaking 1.4200 levels. The bulls are showing their extension towards the northern side in the market
Technical analysis: From the technical point of view we can say that pair is making the higher highs in the chart. The bulls are forcing the market towards creating the bullish momentum in the market, on the daily chart we can say that higher swings are formed in the market. Bulls are forming the upside trend in the market and make confirmation for the buying purpose. On the daily hourly chart, the market is making higher swings and forming bullish candlesticks. The pair is standing at its peak this time at level 1.4159. Major EMA and SMA lines are supporting the market towards the buy-side as they falling below candlesticks. The RSI is also forming the bullish confirmation as it’s crossed its 70 levels, as well as MACD, will also cross the zero level and create buy signals. The support will be 1.4109 followed by 1.4059 and resistance will be 1.4209 followed by 1.4259.
Trade idea: Our traders will be on the buy-side at level 1.4162, the target will be 1.4200 and 1.4240, stop loss will be 1.4079.
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