Technial outlook:
GBPUSD rallied through 1.3065 highs intraday on Wednesday. The currency pair had earlier dropped through 1.2970 lows before finding support. Also note that a higher low has been carved around 1.2995 early this week before resuming its rally. Looks like bulls are poised to pushprices through 1.3300 initial resistance.
GBPUSD seems to have carved a potential double bottom just below the 1.3000 level in the past few trading sessions. If the above structure holds well, bulls will remain inclined to push through 1.3300 and 1.3450, which is next resistance in-line. A push above 1.3150 will accelerate towards 1.3300 and confirm that bulls are back in control.
GBPUSD has completed its drop since 1.3750 highs around 1.2970 levels over the past few trading sessions. A break above 1.3300 initial resistance will confirm that trend has changed and it is a safe strategy to keep buying on dips thereafter. Aggressive traders might have initiated long positions already against 1.2970.
Trading plan:
Potential rally towards 1.3450 against 1.2970
Good luck!
