GBP/USD Price Analysis: Extends gains towards 1.2650 major barrier aligned with 14-day EMA

GBP/USD moves on an upward trajectory amid a bearish sentiment.
The major level around 1.2650 lined up with the 14-day EMA at 1.2656 emerges as the immediate barrier.
The psychological level at 1.2600 could act as a key support level.

Akhtar Faruqui FXStreet

GBP/USD continues the winning streak for the straight third session, edging higher to near 1.2630 during the Asian session on Thursday. The GBP/USD pair receives upward support as the US Dollar (USD) faces challenges against the Pound Sterling (GBP), which could be attributed to the downbeat US yields amid an improved risk-on sentiment.

The GBP/USD pair could find the immediate barrier at the major level around 1.2650 in conjunction with the 14-day Exponential Moving Average (EMA) at 1.2656, followed by the 50.0% retracement level at 1.2673. A breakthrough above this level could strengthen the upward sentiment and support the pair to approach the resistance zone around the psychological level at 1.2700 aligned with the 61.8% Fibonacci retracement at 1.2709 level.

However, the technical analysis of the GBP/USD pair shows that the 14-day Relative Strength Index (RSI) is positioned below 50. This indicates a bearish momentum for the pair. Additionally, the Moving Average Convergence Divergence (MACD), a lagging indicator, suggests a confirmation of the subdued momentum for the pair. This is evident from the MACD line being situated below the centerline and the signal line.

The GBP/USD pair may encounter support at the psychological level of 1.2600 following further support near the major level at 1.2550. A break below the latter could push the pair to test the weekly low at 1.2518 before the psychological level at 1.2500.

GBP/USD: Daily Chart

GBP/USD: additional technical levels

Overview
Today last price	1.2633
Today Daily Change	0.0008
Today Daily Change %	0.06
Today daily open	1.2625

Trends
Daily SMA20	1.2685
Daily SMA50	1.2677
Daily SMA100	1.248
Daily SMA200	1.2565

Levels
Previous Daily High	1.2642
Previous Daily Low	1.2594
Previous Weekly High	1.2773
Previous Weekly Low	1.2614
Previous Monthly High	1.2786
Previous Monthly Low	1.2597
Daily Fibonacci 38.2%	1.2624
Daily Fibonacci 61.8%	1.2612
Daily Pivot Point S1	1.2599
Daily Pivot Point S2	1.2572
Daily Pivot Point S3	1.2551
Daily Pivot Point R1	1.2647
Daily Pivot Point R2	1.2668
Daily Pivot Point R3	1.2695

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

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