The Great Britain Pound skyrocketed on the last day of this week against the US Dollar, increasing the price to more than 1.3400. The price shoot up follows a major economic news release. The technical bias as anticipated will remain bullish because of the higher high marked by the price during the last upside move.
GBP/USD: Technical Analysis
As of writing this piece, the GBPUSD is being quoted around 1.3458. The price may face some resistance near 1.3795, it’s the 23.6% Fib level ahead of 1.4000, the psychological number. Although both of these resistance levels may not be visible on the graph, However, zooming it out one can easily point these resistance levels. Finally, the price may be subjected to key horizontal resistance near 1.4374, which may not allow the price to pass through it.
Talking about the downside, there are several support levels that may further help the price to stay strong and prevent it from decreasing including 1.2999, the trend line support ahead of 1.2854, the Fibonacci level and then 1.2079, the low of September 04, 2019, as shown in the graph above.
GBP Manufacturing and Industrial Sector
From a fundamental point of view, GBP receives positive news from the Manufacturing and Industrial Sector, both of which rise dramatically from a negative to a positive production rate, and both are significant as a transitory share of UK manufacturing activity affecting a huge amount of absolute GDP. These two sectors definitely have a beneficial impact on the United Kingdom, leading it to the bullish trend.
Given the overall performance of the GBPUSD, the market tends to stay bullish for a long time until it gets a big hit, so trading around the current level can be a decent choice, and traders who want to take their luck for a long time should also aim for it.