The GBP / USD pair has struggled to maintain its modest intraday gains and has started to pull back from near the nearly three-year high around 1.3865.
The pullback could only be attributed to some profit taking and is likely to consolidate above 1.38.
The GBP / USD pair has benefited from the UK's leadership in terms of the coronavirus vaccination campaign, which could facilitate an earlier easing of lockdown restrictions.
On the other hand, the US dollar remains weak near two-week lows amid the prevailing sentiment of risk appetite and also pressured by a drop in US Treasury yields.
This, in turn, warrants some caution for the bears before positioning for a significant corrective decline around the GBP / USD pair. Therefore, any further decline below the 1.3830 level could still be seen as a buying opportunity and find support near the 1.3712 level of the 200 EMA.
On the hourly chart the pair is consolidating below the 21 SMA, if it trades below 1.3830, we could expect a correction towards the 200 EMA, zone around 1.3712. This level of 1.3712 may be a good buy point with 1.3860 targets.
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Support And Resistance Levels For February 11 - 12, 2021
Resistance (1) 1.3861
Resistance (2) 1.3894
Resistance (3) 1.3924
Support (1) 1.3797
Support (2) 1.3768
Support (3) 1.3734
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Trading tip for GBP/USD for February 11 - 12, 2021
Sell below 1.3830 (SMA 21) with take profit at 1.3712 (EMA 200), stop loss above 1.3870.
Buy if rebound at 1.3712 (EMA 200) with take profit at 1.3770 and 1.3840, stop loss below 1.3675.
