GBPUSD Price Analysis – March 21
The currency pair has been rising to touch the upper trend line and bounce back to the lower trend line for three times. Likewise, the lower trend line has been touched by the GBPUSD price and bounced back to the upper trend line within the rising wedge.
Supply levels: $1.32, $1.33, $1.35
Demand levels: $1.29, $1.28, $1.26
GBPUSD Long-term trend: Bullish
GBPUSD has been on the uptrend move on the daily chart. As it can be seen clearly on the chart that rising Wedge pattern has formed heading towards the north with a good amount of buying pressure; the currency pair has been rising to touch the upper trend line and bounce back to lower trend line for three times. Likewise, the lower trend line has been touched by the GBPUSD price and bounced back to the upper trend line.
The currency pair topped at the supply level of $1.33 on March 14, It was resisted by the bears’ pressure with the formation of reversal candle pattern called “Bearish Harami” which made the price currently declining facing lower trend line.
The currency pair may break down the lower trend line after a short pullback and the trend may change to downtrend. In case the demand level of $1.29 holds, the price may retrace back to the $1.32. Meanwhile, the Stochastic Oscillator period 14 is at 60 levels with signal lines points down to indicate sell signal.
GBPUSD Short-term Trend: Bullish
GBPUSD is on the downtrend on the 4-hour chart. Formation of Rising Wedge also confirmed on the 4-hour chart. Currently, the pair is on the downtrend within the wedge and also trading below the 21 periods EMA and 50 periods EMA.
The stochastic oscillator period 14 is at 20 levels with the signal lines bending towards south to indicate a sell and further reduction of GBPUSD price. The currency pair is under the heavy pressure of the bears targeting $1.29 support level.
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