empty
 
 
19.10.2021 05:15 PM
GBP/USD reaches upside obstacle

This image is no longer relevant

GBP/USD Minor Decline Is Natural

The GBP/USD pair could drop in the short term after reaching the ascending channel's upside line which serves as resistance. In the short term, it could slip lower before resuming its upwards movement. It could still grow as long as it stays within the channel's body.

1.3756 level, a former lower low, which was seen as an upside obstacle in the previous days, is now seen as a downside obstacle, or as a support level. We cannot exclude a temporary decline towards this level.

A minor decline could help the bulls buy from the lows. The upside scenario remains intact as long as the pair is traded within the channel's body above the uptrend line. Only dropping and stabilizing below the uptrend line could invalidate an upside continuation.

GBP/USD Trading Conclusion

A minor decline was somehow expected after reaching the 1.3800 psychological level and the channel's upside line. Dropping a little, the GBP/USD pair may bring new buying opportunities from around the 1.3756 level. The pair could climb towards the 1.3902 higher high as long as it stays above the uptrend line.

Ralph Shedler,
Analytical expert of InstaForex
© 2007-2024
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $1000 more!
    In April we raffle $1000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback