GBPUSD struggles near 1.30 may invite more Bears. After breaking the 1.2960 area, Bulls managed to push the price near 1.30 resistance again. Let’s check GBPUSD Technical Analysis for more levels and insights.
February 19, 2020 | AtoZMarkets – GBPUSD able to break below 1.2960 area but failed to settle down. The recent price action indicating that, Bulls and Bears are fighting too hard to take the price in their favor. If the price breaks above 1.3070 resistance or breaks below support 1.2960 area we may see impulsive price action.
GBPUSD reacted positively after a CPI (Consumer Price Index) released. The actual news is greater than forecast which increased by 1.5%. The currency has also been given a boost by the prospect of greater public spending budget in the upcoming month.
Additionally, the GBPUSD has been proved profitable for traders after the Consumer Price Index jump from 1.3% yearly to 1.8% in January. On the other hand, FOMC upcoming meeting minutes are going to be held on Thursday, and Flash Manufacturing PMI on the upcoming Friday.
GBPUSD is Struggling to Break Above 1.3070 Area
GBPUSD is becoming indecisive around 1.3070 – 1.2960 range area. Though, GBPUSD struggling pushing price higher, it may break below by the support of dynamic levels.
image: GBPUSD 4 Hour Chart
According to 4 hour chart, the price becoming indecisive and volatile after a recent CPI news was released. GBPUSD managed to break the uprising trend line but didn’t able to hold the price below the 1.2960 area but trying to push lower. GBPUSD retest again 1.3070 area now may push lower.
Additionally, the dynamic level of 20 EMA also holding the price lower along with the Tenkan line and Kijun line. It may work as a resistance to push the price below 1.2960 area for further Bearish pressure. Therefore, GBPUSD may struggle pushing higher as the Kumo Cloud is holding it.
GBPUSD Struggle Invite Bears to push lower
image: GBPUSD Daily Chart
After a strong reversal above 1.2960 with a weekly close, price may push lower below 1.2960 again. If the price manages to break below the 1.2960 area with daily close, Bearish momentum may continue pushing GBPUSD further towards 1.2800 event-level area. The price now held by the dynamic level 20 EMA, along with the Kijun line and the Tenkan line.
Moreover, the MACD histograms are below the 0.00 level. This indicates that, GBPUSD struggling to push higher and Bulls are losing momentum. Additionally, the MACD lines are also near the 0.00 line along with histogram volumes. So, there are higher chance for Bears to dominate Bulls in the coming days.
To conclude, GBPUSD is currently very indecisive with the current price action. If it manages to break above 1.3070 resistance area, Bulls may take the control. On the other hand, if price breaks below 1.2960 area, which is more probable, Bears may take control for further move.