GBP/USD Price Analysis: Holds positive ground above 1.2200, the next contention is seen at 1.2170


  • GBP/USD pair attracts some buyers above 1.2200 on Friday.
  • The pair holds above the 50- and 100-hour EMAs the the bullish RSI condition.
  • The first resistance level is located at 1.2217; 1.2170 acts as an initial support level.

The GBP/USD pair holds positive ground for the second consecutive day during the early European session on Friday. As widely expected, the Bank of England (BoE) decided to maintain the interest rate unchanged at 5.25% on Thursday. During the press conference, BoE Governor Andrew Bailey stated that an additional rate hike could be appropriate, but Bailey disregarded rate cuts. The major pair currently trades around 1.2208, gaining 0.08% on the day.

According to the four-hour chart, GBP/USD holds above the 50- and 100-hour Exponential Moving Averages (EMAs), which supports the buyers for the time being. Furthermore, the Relative Strength Index (RSI) holds above 50 in bullish territory, suggesting the path of least resistance is to the upside.

That being said, the immediate resistance level for the major pair will emerge at the confluence of the upper boundary of the Bollinger Band and a high of October 16 at 1.2217. A decisive break above the latter will see a rally to 1.2288 (high of October 24). Further north, the next barrier to watch is 1.2300 (round figure), en route to 1.2337 (high of October 11).

On the downside, the 100-hour EMA at 1.2170 acts as an initial support level. The additional downside filter will emerge near the lower limit of the Bollinger Band at 1.2115. The key contention level is located at the 1.2095–1.2100 area, portraying a psychological mark and a low of October 20. A breach of the level will see a drop to a low of October 26 at 1.2066.

GBP/USD four-hour chart

 

GBP/USD

Overview
Today last price 1.2209
Today Daily Change 0.0006
Today Daily Change % 0.05
Today daily open 1.2203
 
Trends
Daily SMA20 1.2184
Daily SMA50 1.2309
Daily SMA100 1.2551
Daily SMA200 1.2435
 
Levels
Previous Daily High 1.2226
Previous Daily Low 1.2138
Previous Weekly High 1.2289
Previous Weekly Low 1.207
Previous Monthly High 1.2337
Previous Monthly Low 1.2037
Daily Fibonacci 38.2% 1.2192
Daily Fibonacci 61.8% 1.2171
Daily Pivot Point S1 1.2152
Daily Pivot Point S2 1.2101
Daily Pivot Point S3 1.2065
Daily Pivot Point R1 1.224
Daily Pivot Point R2 1.2276
Daily Pivot Point R3 1.2327

 

 

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