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FX.co ★ Technical Analysis of GBP/USD for February 17, 2021

Technical Analysis of GBP/USD for February 17, 2021

Technical Market Outlook:

The GBP/USD pair has made another higher high at the level of 1.3950 and the next target for bulls is seen at the level of 1.3965 - 1.3982. Nevertheless, due to the overbought market conditions at the H4 time frame chart the continuation of the up move might take some time. So far the biggest correction had 90 pips, so any move down bigger than 90 pips will be treated as overbalance. For overbalance to occur, the price must break below the level of 1.3860. The momentum is still strong and positive, so the bullish sentiment prevails. The larger time frame trend is still up as well and the price is above 50 DMA on daily and weekly charts.

Weekly Pivot Points:

WR3 - 1.4119

WR2 - 1.3990

WR1 - 1.3939

Weekly Pivot - 1.3805

WS1 - 1.3748

WS2 - 1.3625

WS3 - 1.3558

Trading Recommendations:

The GBP/USD pair keeps developing the up trend and the trigger for this trend was the breakout above the level of 1.3518 on the weekly time frame chart. The recent top was made at the level of 1.3901 and this was the higher close in over two years. All the local corrections should be used to open a buy orders as long as the level of 1.2674 is not broken. The long-term target for bulls is seen at the level of 1.4370.

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Technical Analysis of GBP/USD for February 17, 2021

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
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