The GBPUSD pair has confirmed a significant breach above the crucial $1.2700 level, supported by yesterday’s closing above this key threshold. This development underscores expectations for a bullish reversal, setting the stage for an upward trajectory targeting initial levels around $1.2800 and then $1.2890. The bullish sentiment is bolstered by the pair’s position above the 50-period moving average.
However, caution is advised as negative signals from the Relative Strength Index (RSI) may lead to temporary sideways movement before the anticipated upward momentum resumes. It is crucial to monitor any potential drop below the $1.2700 mark, as such a move could stymie the bullish trend, exposing the price to renewed corrective pressures downwards.
In terms of expected trading ranges, immediate support is seen around $1.2660, while resistance looms at approximately $1.2835. Traders and investors are advised to remain vigilant for further developments around these key levels as market sentiment continues to evolve.
