GBP/USD outlook: Cable keeps positive tone above 200DMA but weekly doji warns
Cable remains constructive and extends bounce from 200DMA on Friday, retracing over 61.8% of a shallow pullback from 1.2344 to 1.2106 so far.
Bulls are underpinned by 10/200DMA golden-cross and strong positive momentum on daily chart, eyeing a multi-month high at 1.2344 (Dec 5), break of which would signal continuation larger uptrend from 1.0348 (2022 low, posted on Sep 26). Read more…
Could GBP/USD drop towards the 1.22 level?
Looking at GBPUSD’s chart, we can see that the FX pair is being traded close to its resistance level at around $1.2265. If it is able to break through the level of $1.2270 today, then we could expect it to rise further towards its next resistance level at around $1.23-1.2320.
If it is not able to pass the level of $1.2270, then we could expect it to drop towards its support level at around $1.2180-1.22. Read more…
GBP/USD clings to gains above mid-1.2200s amid broad-based USD weakness
The GBP/USD pair gains traction for the third successive day on Friday and sticks to the positive bias through the mid-European session. The pair is currently placed comfortably above the mid-1.2200s and remains well within the striking distance of its highest level since June 17 touched earlier this week.
A combination of factors keeps the US Dollar bulls on the defensive, which, in turn, is seen lending some support to the GBP/USD pair. The optimism over the easing of strict COVID-19 restrictions in China remains supportive of a generally positive tone around the equity markets. Furthermore, the uncertainty over the Fed’s rate-hike path is seen weighing on the safe-haven greenback. Read more…
Read More: Could GBP/USD drop towards the 1.22 level?