GBPUSD Pauses 9-Day Long Winning Streak

FXOpen

The Great Britain Pound (GBP) finally paused the nine-day long record breaking winning streak on Friday and continued falling today ahead of some key economic events. The technical bias remains bullish due to a Higher High in the ongoing upside rally.

Technical Analysis

As of this writing, the pair is being traded near 1.5716. A hurdle may be noted around 1.5800-1.5814, the confluence of psychological number as well as high of last week ahead of 1.5875, the 50% fib level as demonstrated in the following weekly chart.

GBPUSD Pauses 9-Day Long Winning Streak

On the downside, the pair is expected to find a support around 1.5566, the 38.2% fib level ahead of 1.5392, the low of the last weekly candle. The technical bias will remain bullish as long as the 1.5392-5350 support area is intact.

NAHB Housing Market Index

National Association of House Builders (NAHB) is due to release the housing market index report of the United States today during the early New York session. According to the average forecast of different economists, the housing market index remained 57 points in May as compared to 56 points in the month before. Generally speaking, higher housing market index is seen as positive for the US economy thus a better than expected actual outcome could spur renewed selling pressure in the price of GBPUSD and vice versa.

Trade Idea

Considering the overall technical and fundamental outlook, selling the pair around current levels appears to be a good strategy if we get a solid bearish signal in the form of bearish pin bar or bearish engulfing candle. It is always recommended to use proper risk and reward ratios to optimize your profitability in forex trading.

Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Forex Analysis

Commodities and European currencies Test Key Supports EUR/USD Analysis: The Price Today Has Set Its Minimum Since the Beginning of March Market Analysis: GBP/USD Dives While USD/CAD Gains Bullish Pace The US Currency Corrects After Recent Growth USD/JPY Price Analysis: Consolidation ahead of US News

Latest articles

Indices

Although UK-100 Index Is Near All-time Highs, UK Economy Slips into Recession

Technically, a national economic recession is defined as two consecutive quarters of contraction, and yesterday's Office for National Statistics data confirmed that this has happened — UK GDP fell in the third and fourth quarters of 2023 by 0.1% and

Cryptocurrencies

DOGE Price Increases by 170% in Less Than 2 Months

On February 1, 2024, the DOGE/USD rate was = 0.0783. On the last Friday of March, it rose to 0.2150. The rising price means Dogecoin is now the eighth-largest cryptocurrency in the world by market capitalization, overtaking Cardano

Commodities

Market Analysis: Gold Price and Crude Oil Price Gain Bullish Momentum

Gold price started a steady increase above the $2,200 resistance level. Crude oil prices are gaining bullish momentum and might rise toward $85.00.

Important Takeaways for Gold and Oil Prices Analysis Today

· Gold price started a decent increase

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 65.68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.