GBP/USD: trade the epic breakthrough

GBP/USD: trade the epic breakthrough

2021-01-21 • Updated

GBP/USD is gradually making a big breakthrough both on a strategic and tactical level.

In the long term, 1.37 is the gateway to the highs of 2017. Therefore, the pair is now in the four-year resistance zone. 1.43 is the long-term target for bulls. It may take a few months – or weeks – for GBP/USD to get there. Therefore, if you like position trading – that’s definitely your chance. However, be prepared to see corrections on the way: 1.34 may be a possible checkpoint for a bearish reversal in the long run

21.png

In the midterm, you will see that most the currency pair performance is contained with the channel marked in the below H4 chart. You will note that GBP/USD frequently deviates from the channel and breaks through the border of the channel. So far, going above 1.37 doesn’t cross the upper side, but still – don’t be surprised if it goes down to 1.36 before making another upswing and continuing the mid-term uptrend.

Primary scenario: the price bounces downwards, dips below 1.37, possibly drops to 1.36, reverses upwards again

Secondary scenario: the price goes significantly above 1.37, corrects downwards to touch 1.37 or dip slightly below it, gets back to the upside.

22.png

                                                                                                        LOG IN

Similar

Nasdaq 100 (US100): Toward 17750
Nasdaq 100 (US100): Toward 17750

Bullish Scenario: Buy between 17515 and 17600 with TP1: 17681; TP2: 17720 intraday, and TP3: 17750 / 18000 in extension. Bearish Scenario in case of breaking the buying zone: Sell below 17500 with TP1: 17469; TP2: 17421, and TP3: 17358 in extension.

Latest news

XAUUSD: Bears Prepare To Takeover
XAUUSD: Bears Prepare To Takeover

On Friday, the gold price (XAUUSD) retreated from a recent two-week high, facing selling pressure. This decline was driven by hawkish minutes from the FOMC meeting, indicating the Fed's reluctance to cut interest rates. Elevated US Treasury bond yields, supported by a "higher-for-longer" narrative, further weakened demand for gold...

Deposit with your local payment systems

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera