GBPUSD - New Highs are Bullish
GBP/USD surged to 1.4662, clearing solid supply regions. has broken the resistance at 1.4597 (07/06/2016 reaction high), confirming the underlying bullish trend. Resistance is given at 1.4735 (26/05/2016 high) and a stronger one is located at 1.4762 (03/05/2016 high). Hourly support can be located at 1.4430 (gap open high). Expected to confirm deeper selling pressures as gaps are closed.
The long-term technical pattern is negative and favours a further decline towards key support at 1.3503 (23/01/2009 low), as long as prices remain below the resistance at 1.5340/64 (04/11/2015 low see also the 200-day moving average). However, the general oversold conditions and the recent pick-up in buying interest pave the way for a rebound.