11.02.202219:17 Forex Analysis & Reviews: Technical analysis of GBP/USD for February 12, 2022

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Overview:

The GBP/USD pair is going to continue to rise from the level of 1.3580 in the long term. It should be noted that the support is established at the level of 1.3534 which represents the 61.8% Fibonacci retracement level on the H1 chart.

It should be noted that volatility is very high for that the GBP/USD pair is still moving between 1.3540 and 1.3673 in coming hours.

Furthermore, the price has been set above the strong support at the levels of 1.3534 and 1.3580, which coincides with the 61.8% and 78% Fibonacci retracement level respectively.

Consequently, the first support is set at the level of 1.3580 (horizontal green red).

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 1.3580.

So, buy above the level of 1.3580 with the first target at 1.3643 in order to test the daily resistance 1 and further to 1.3673.

Also, it might be noted that the level of 1.3673 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 1.3534, a further decline to 1.3466 can occur which would indicate a bearish market.

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