Will the GBP/USD price rebound persist?
The technical analysis of the GBPUSD price chart on 1-hour timeframe shows GBPUSD,H1 has breached above the 200-period moving average MA(200) which is level. We believe the bullish movement will continue after the price breaches above the upper bound of the Donchian channel at 1.3261. A level above this can be used as an entry point for placing a pending order to buy. The stop loss can be placed below 1.3205. After placing the order, the stop loss is to be moved to the next fractal low indicator, following Parabolic signals. Thus, we are changing the expected profit/loss ratio to the breakeven point. If the price meets the stop loss level without reaching the order, we recommend canceling the order: the market has undergone internal changes which were not taken into account.
GBP/USD eases from 21-DMA as UK battles Omicron, Q3 GDP, Brexit talks eyed
GBP/USD pulls back from 21-DMA level surrounding 1.3270, down 0.05% intraday near 1.3262 during early Wednesday. The cable pair cheered the market’s optimism the previous day to snap a two-day downtrend. However, fears of Brexit and rising covid cases challenge the British government’s efforts to placate bears ahead of the UK Q3 GDP readings.
A 63% jump in the total covid cases in the seven days to December 21, per Reuters, rejects the No 10’s efforts to play safe, as far as the Omicron-led activity restrictions are concerned.
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