The GBP/USD pair is currently trading above the 1.3100 level, indicating that buyers are in control of the market. The Relative Strength Index (RSI) confirms this bullish sentiment, suggesting that the pair may be eyeing a resistance level of 1.3200. If the pair manages to break above 1.3179, it could open the door to challenge the March 2022 high of 1.3298, with further upside potential to 1.3437.
On the downside, a pullback below 1.3150 could lead to testing key support levels at 1.3100 and 1.3044. The 50-day moving average (DMA) at 1.2914 is another crucial support level to watch in case of a deeper pullback. Traders should pay close attention to these levels to gauge the strength of the current trend and potential trading opportunities.
Based on the current technical outlook, traders may consider going long on the GBP/USD pair if it breaks above the 1.3200 resistance level. A successful break above this level could signal further upside momentum towards 1.3298 and possibly 1.3437. On the other hand, a pullback towards the key support levels at 1.3100 and 1.3044 could present buying opportunities for traders looking to enter the market at a lower price point.
The GBP/USD pair remains in an upward trajectory, with buyers in control of the market. Traders should keep a close eye on the key support and resistance levels mentioned above to identify potential trading opportunities. By analyzing the chart carefully and using technical indicators like the RSI, traders can make informed decisions and capitalize on the fluctuations in the currency pair.