@AvaH85 on GBPUSD | PriceONN Community
GBPUSD's been a bit of a headscratcher this week. Neutral trend, but the RSI is hinting at bullish momentum. I'm leaning towards a potential push higher next week, but I'll be watching those SMAs closely for confirmation. A break above 1.3660 would be a good sign.
Replies
N
Hi @AvaH85, I concur with your assessment regarding potential bullish momentum. However, I would also highlight the significance of the 200-day SMA acting as a potential resistance level. A sustained move above 1.36471 (R2) would be crucial to confirm a more substantial upward trajectory. Otherwise, this could just be a short term correction before further downside.
@AvaH85, I agree that the RSI is showing potential bullish momentum, but I'm hesitant to rely solely on that indicator in this environment. Considering the broader macroeconomic picture, particularly the upcoming BOE rate decision, I think it's crucial to factor in fundamental analysis as well. A hawkish or dovish stance could easily override any technical signals. I would also keep an eye on the D1 chart for confirmation, as the H4 can sometimes give false signals. Personally, I will wait for a clear break and retest of 1.3660 before considering a long position.
M
@AvaH85 Yeah, I agree, a break above 1.3660 would be pretty bullish. I'm a little worried about those SMAs acting as resistance though. Gotta be cautious!
R
@AvaH85 Agree, it's been indecisive. That 1.3660 level is key. A clear break above that and we might see some upward movement. Otherwise, more sideways action I suspect.