FX.co ★ GBP/USD

Today, I see the GBP/USD pair as still having room to move lower in the short term, with 1.3505 acting as the nearest support level. That said, this level doesn’t seem as strong or as significant as before, so even if the price reaches it, I don’t expect a major reaction. At the same time, I think there is still a good chance that the pair could continue moving upward toward the resistance level at 1.3680 without necessarily dropping first. Overall, my outlook for this week remains slightly bullish. I expect the pair to trade higher by the end of the week. While a rejection from the 1.3680 resistance is definitely possible, I don’t think any pullback from that level would be strong enough to push the price below 1.3600. Instead, such a move would likely be temporary before the market resumes its upward direction. Looking further ahead, I anticipate another upward push toward the 1.400 level, which seems to be the next major target for the pair. This suggests that the current market structure still supports a broader bullish trend.

On the downside, if the price breaks below the 1.3505 support, I don’t see it as a major shift in direction just yet—it would simply indicate a continuation of short-term weakness. However, a more important level to watch is last week’s low. As long as that level holds, I still expect the pair to eventually move up toward 1.3680. If, however, last week’s low is broken, then the scenario changes. In that case, I would expect a deeper decline toward 1.3415. There could also be a small upward correction along the way, followed by another drop to around 1.3364. For now, I’m not considering any move significantly below those levels. My main expectation remains that after any short-term fluctuations, the pair will continue its upward movement toward 1.3680 and potentially beyond.