GBP/USD Daily Forex Analysis
Our Daily Forex Analysis indicates that the intraday bias for GBP/USD remains mildly on the downside, as the pair continues to decline from the short-term top at 1.2847. This downward movement is supported by the bearish divergence observed in the Daily Moving Average Convergence Divergence (MACD) indicator. A sustained break below the 55-day Exponential Moving Average (EMA) currently positioned at 1.2529 would suggest that the pair is undergoing a correction within a larger upward trend, targeting the support level at 1.2306. On the upside, a break of the minor resistance at 1.2690 would bring about a retest of the 1.2847 level.
In the bigger picture, the strong support provided by the 55-week EMA, which is currently located at 1.2341, is a positive indication for the medium term. The overall outlook remains bullish as long as the support level at 1.2306 remains intact. The rise from the medium-term bottom at 1.0351, which was the low point of 2022, is expected to extend further, potentially retesting the key resistance level at 1.4248, which corresponds to the high of 2021.
GBP/USD Daily Analysis Summary
In summary, our Daily Analysis suggests a mildly bearish intraday bias for GBP/USD, with a focus on the 55-day EMA as a crucial support level. The larger picture indicates a medium-term bullish outlook, supported by the 55-week EMA and the potential for a retest of the key resistance level.
Key takeaways
- Intraday bias for GBP/USD is mildly bearish.
- The 55-day EMA at 1.2529 is an important support level to watch.
- The bigger picture shows a medium-term bullish outlook, with 1.2306 as a key support level and 1.4248 as a key resistance level.
