GBP/USD did nice up break on Friday and today we see potential end of the downward correction after the breakout, which is sign that further bullish movement is expected.
Green rectangle – Intraday resistance 1.2658
Yellow rectangle – Swing high resistance 1.2698
White lines – Downward channel (broken)
According to the H1 time-frame, we that there is potential end of the downward correction (abc) at 1.2610, which is sign that further upward movement is expected. The stochastic oscillator is turning bull again and MACD indicator is still in positive teritory. Our advice is to watch for buying opportunities. The upward targets are set at 1.2658 and 1.2700. As long as the GBP is trading above the 1.2558, we will watch for buying opportunities.
