An upward sloping trend line since late-June, overbought conditions of RSI highlight October top as nearby support.
Bulls can target May high, yearly top during the further rise.
GBP/USD pushed higher to 1.31554 this Friday’s Asian session. The pair clings to a multi-month-old rising resistance line amid overbought conditions of 14-day Relative Strength Index (RSI).
Sellers look for entry below October month high, at 1.30107, to take aim at November top surrounding 1.29842. Though, 20-SMA could support price to declines below 1.29357.
Should prices decline below 20-SMA, 61.8% Fibonacci retracement of March-September fall, at 1.28415, holds the key for the pair’s further south-run towards the November low near 1.27638 and 200-SMA at 1.26950.
On the contrary, Bull will target the May month high at 1.31760 an extended this high enables it to challenge 1.32700 and the yearly high around 1.33850.
- The Parabolic indicator has maintain a buy signal.
- The Bollinger Band see bull-candle open outside the upper band, signal overbrought.
- The Super-signal arrow appear above the green-candle signalling a Sell
- The RSI oscillator is flat above the overbought zone at 73.01.
Technical Analysis Summary
Stop loss above 1.31650