- GBP/USD edges higher on soft US Dollar, climbs above 200-DMA.
- If buyers reclaim 1.2600, look for a test of 1.2700 in the near term.
- Once the pair tumbles below 1.2500, look for a drop toward 1.2445 and 1.2299.
The Pound Sterling gains traction against the US Dollar and climbs above the 200-day moving average (DMA) of 1.2541 in early trading during the North American session. At the time of writing, the GBP/USD trades at 1.2566, up by 0.36%.
GBP/USD Price Analysis: Technical outlook
The GBP/USD is currently uncertain, showing a neutral bias. It is unable to decisively continue trending up and push above the May 3 high at 1.2634, the latest cycle high. Once cleared, that could exacerbate a rally toward the April 9 high at 1.2709 before challenging the psychological 1.2800 figure.
On the other hand, a bearish resumption is most likely once sellers’ step in and breach below the 200-DMA and 1.2500. If those two levels are taken out, the next support emerges at 1.2445 the May 9 low, followed by the April 22 low of 1.2299.
GBP/USD Price Action – Daily Chart
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