The GBP/USD pair faced strong support at the level of 1.1989 because resistance became support. So, the strong support has been already faced at the level of 1.1989 and the pair is likely to try to approach it in order to test it again. The level of 1.1989 represents a weekly pivot point for that it is acting as minor support this week. Furthermore, the GBP/USD pair is continuing to trade in a bullish trend from the new support level of 1.1989. Currently, the price is in a bullish channel. According to the previous events, we expect the GBP/USD pair to move between 1.1989 and 1.2089. Also, it should be noticed that the double top is set at 1.2089. Additionally, the RSI is still signaling that the trend is upward as it remains strong above the moving average (100). This suggests the pair will probably go up in coming hours. Accordingly, the market is likely to show signs of a bullish trend. In other words, buy orders are recommended above 1.1989 with the first target at the level of 1.2089. If the trend is be able to break the double top at the level of 1.2089, then the market will continue rising towards the weekly resistance 2 at 1.2119. On the other hand, if the GBP/USD pair fails to break through the resistance level of 1.2119 today, the market will decline further to 1.4473. The pair is expected to drop lower towards at least 1.2089 with a view to test the weekly pivot point. Also, it should be noted that the weekly pivot point will act as major support today. It would seem more appropriate to wait for a signal indicating reversal of the trend.
Conclusion :
The bullish trend is currently very strong for the GBP/USD pair. As long as the price remains above the support at 1.1989, you could try to take advantage of the bullish rally. The first bullish objective is located at 1.2089. The bullish momentum would be revived by a break in this resistance. Buyers would then use the next resistance located at 1.2119 as an objective.
