Daily Price Outlook
* GBP/USD is trading at 1.2470 during the Asian session.
* Resistance is observed around 1.2496, causing selling pressure and pushing the pair lower.
* The 50-day exponential moving average acts as resistance at 1.2485, while support is expected near 1.2440, reinforced by a double bottom pattern. A break below may lead to a decline towards 1.2400. Traders should monitor for a decisive break and consider closing positions near 1.2440.
During the Asian session, the GBP/USD currency pair is currently trading at the 1.2470 level. On the two-hour timeframe, there is a significant resistance around the 1.2496 level. After failing to break above this resistance, selling pressure has pushed the pair lower.
The 50-day exponential moving average is providing a notable resistance around the 1.2485 level. On the downside, the GBP/USD pair is likely to find support near the 1.2440 level.
This support level is reinforced by a double bottom pattern, and a break below it has the potential to expose the pair towards the 1.2400 level. It is important to note that a double bottom pattern often leads to an upward movement.
Therefore, the current strategy is to target the 1.2440 level until a decisive break below occurs. Traders may consider closing their positions near the 1.2440 level.
GBP/USD - Trade Idea
Entry Price – Sell Below 1.24942
Stop Loss – 1.25363
Take Profit – 1.24421
Risk to Reward – 1 : 1.24
Profit & Loss Per Standard Lot = +$520/ -$420
Profit & Loss Per Micro Lot = +$52/ -$42
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