GBP/USD: Technical Analysis and Trading Recommendations_04/21/2021

 
 
 
 
 
 
 

After rallying in the previous week, GBP / USD has grown again since the beginning of this week.

The pair remains positive, trading in the zone above the important support levels 1.3450 (ЕМА200 on the daily chart), 1.3810 (ЕМА50 on the daily chart), 1.3825 (ЕМА200 on the 1-hour chart), while remaining within the ascending channel on the weekly chart.

At the beginning of today's European session, GBP / USD is traded near the 1.3930 mark, maintaining an upward trend.

Consecutive breakdown of strong resistance levels 1.3970 (Fibonacci level 38.2% of the correction to the decline of the GBP / USD pair in the wave that began in July 2014 near the level of 1.7200), 1.4006 (local resistance level) may become a signal for the resumption of long positions in GBP / USD. In this case, GBP / USD will go towards the resistance levels 1.4240, 1.4350, 1.4440, 1.4580 (50% Fibonacci level), 1.4830 (ЕМА200 on the monthly chart).

In an alternative scenario, and after the breakdown of the local support level 1.3915, GBP / USD may decline to support levels 1.3852, 1.3810, and after their breakdown - to 1.3580 (ЕМА144 on the daily chart), 1.3450 (ЕМА200 on the daily chart), 1.3210 (ЕМА200 on the weekly chart and Fibonacci level 23.6%) levels.

A breakdown of the local support level 1.2685 (September 2020 lows) will increase the risks of a resumption of the global bearish trend in GBP / USD and may provoke a deeper decline towards the support levels 1.2250, 1.2085, 1.2000 (Fibonacci level 0%).

Support levels: 1.3915, 1.3852, 1.3810, 1.3680, 1.3580, 1.3450, 1.3300, 1.3210

Resistance levels: 1.3970, 1.4006, 1.4100, 1.4240, 1.4350, 1.4440, 1.4580, 1.4830

Trading recommendations

Sell Stop 1.3890. Stop-Loss 1.3960. Take-Profit 1.3852, 1.3810, 1.3680, 1.3580, 1.3450, 1.3300, 1.3210

Buy Stop 1.3960. Stop-Loss 1.3890. Take-Profit 1.4006, 1.4100, 1.4240, 1.4350, 1.4440, 1.4580, 1.4830