GBPUSD Price Analysis – January 21
When the bulls push the price to the $1.38 level and it breaks it up, the key resistance level of $1.40 and $1.42 may be tested. Should the resistance level of $1.38 hold; the price may find support levels at $1.35, $1.32, and $1.30.
Key levels:
Supply levels: $1.36, $1.38, $1.40, $1.42
Demand levels: $1.35, $1.32, $1.30
GBPUSD Long-term Trend: Bullish
On the daily chart, GBPUSD remains bullish. The bulls maintain their momentum on the daily chart and that is why the currency pair remains bullish. The support level of $1.35 was retested last week but the bears could not sustain their pressure, the price was rejected. The bulls gather more pressure and the price is currently increasing towards the resistance level of $1.38. Today, a strong daily bullish candle opens the GBPUSD market; it indicates a further increase in the price.
The price is targeting the resistance level of $1.38 at the moment. GBPUSD is trading above the 9 periods EMA and 21 periods EMA at a distance range which indicates an increase in the bullish momentum. When the bulls push the price to the $1.38 level and it breaks it up, the key resistance level of $1.40 and $1.42 may be tested. Should the resistance level of $1.38 hold; the price may find support levels at $1.35, $1.32, and $1.30.
GBPUSD Medium-term Trend: Bullish
On the 4-hour chart, the currency pair is displaying strong bullish momentum characters. The bulls push up the price to break up the $1.36 level. It is heading towards the resistance level of $1.38. Price retracement is inevitable in a trending market. The price attempted to break up the $1.36 yesterday but it was not successful. The breakup takes place today.
GBPUSD is trading above the 9 periods EMA and 21 periods EMA which indicates that the bulls are still in control of the GBPUSD market. The relative strength index period 14 is pointing up at 70 levels to indicate a strong buy signal.
