The cable completed the first target 1.3000/1.3040 recommended on April 19th high made at 1.3047 and changed the direction.

GBPUSD spotted with a golden cross on Wednesday session (May 17) added an extra mile to GBP bulls. Cable settles above all daily moving averages and on the weekly settles above 20&50MA. On the monthly chart, 20MA seems at 1.3500 July 2016 high.

 

 

Over near term the price likely to consolidate before claiming further headroom, as the daily RSI appears lower high. The price has parallel resistance seems at 1.3060 and on the weekly chart last two weeks closing appears a double top. The double top view might erase if cable closes today (May 19), above 1.2980/1.3000 levels.

 

 

Near-term support finds at 1.2880, 1.2830/1.28 and 1.2750 its 50WMA. Alternatively, resistance seems at 1.2890/1.2900, 1.2980/1.3000 and 1.3060. Over the medium term, potential support finds between 1.2775 and 1.2750 below this 1.2530/1.2500 exists. If the price settles above 1.3060, the bulls aim for 1.3100 and 1.3140 above these 1.32 possible.

 

It is important to always keep in mind the risks involved in trading with leveraged instruments.

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