17.12.202115:20 Forex Analysis & Reviews: Technical Analysis of GBP/USD for December 17, 2021

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Overview :

The GBP/USD pair continues to move upwards from the level of 1.3160. According to the previous events, the GBP/USD pair is still moving between the levels of 1.3160 and 1.3415; for that we expect a range of 255 pips (1.3415 - 1.3160). On the four-hour chart, immediate resistance is seen at 1.3573 (R3), which coincides with a ratio of 61.8% Fibonacci retracement. Currently, the price is moving in a bullish channel. This is confirmed by the RSI indicator signaling that we are still in a bullish trending market. The price is still above the moving average (100) and (50), Therefore, if the trend is able to break out through the first resistance level of 1.3303, we should see the pair climbing towards the daily resistance at 1.3415 and then towards 1.3573 to test it. It would also be wise to consider where to place stop loss; this should be set below the second support of 1.3065.

Signal :

Buy above the spot of 1.3300 with the targets 1.3415 and 1.3573. On the other hand, the daily strong support is seen at 1.3160. If the GBP/USD pair is able to break out the level of 1.3112 , the market will decline further to 1.3065.

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