GBPUSD challenging key resistance
Gary Christie July 21, 2020 6:58 AM
Will the GBP/USD break resistance to start a new uptrend?
The US Dollar was bearish against most of its major pairs on Monday with the exception of the CHF and JPY.
On the economic data front, no major economic data was released.
On Tuesday, the Federal Reserve Bank of Chicago's National Activity Index for June is expected to jump to 4.00 on month, from 2.61 in May.
The Euro was bearish against most of its major pairs with the exception of the CHF, JPY and USD. In Europe, European Central Bank has reported the Eurozone's May current account at 8.0 billion euros surplus (vs 14.4 billion euros surplus in April). German June PPI was released at 0.0%, vs 0.2% expected.
The Australian dollar was bullish against most of its major pairs with the exception of the CAD and GBP.
Looking at big gainers on the day, the GBP/USD jumped 87 pips to 1.2655. The pair has rebounded quite nicely since breaking above a falling wedge bullish reversal pattern at the beginning of the month. Will we see a push to test June highs after the most recent break above a symmetrical triangle continuation pattern? Key resistance is set at 1.267. A break above 1.267 could open a path towards 1.275 and 1.28 in extension.
Source: GAIN Capital, TradingView
From time to time, GAIN Capital Australia Pty Ltd (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material.
As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed.