GBPUSD stretches to the upside. Buyers making a break for it. | Forexlive

The GBPUSD is stretching to the upside and in the process is taken closer to the high price from April 14 at 1.25462. That high is the highest level going back to June 2022. A break above would increase the bullish bias.

Looking at the hourly chart above, a swing area between 1.2495 and 1.2500 had been eyed this week. On Tuesday that price moved above but quickly rotated back to the downside. On Wednesday the price moved above and quickly moved to the downside. In the up-and-down model day yesterday, the price moved to the area and found willing sellers.

Today an Asian break also failed, and that’s all the price move all back down to the 200 hour moving average (green line in the chart above. Yesterday the low price based against that level and today traders once again leaned against that level and pushed the price higher.

This time, the break above 1.2500 turned sellers to buyers. The clue was the holding of the level on the rotation to the downside before the most recent run higher.

Buyers are making a play, but can they get above the 2023 high at 1.25462? Key target for both buyers and sellers looking for a level to lean against.

On the downside close support at 1.2524 and then the 1.2500 area again. Traders looking for more upside, in this pair would not want to see the price move below that level (area – down to 1.2495) going forward.

PS. The next upside target from the daily chart on a break to new highs comes between 1.25987 and 1.2665 (see red numbered circles on the chart below). A move above that level would target a 61.8% retracement 1.27605.

See earlier video where I speak to the GBPUSD.