#GBPUSD Price May Experience a Bullish Reversal at $1.25 Level (5 May 2022)
GBPUSD Price Analysis – May 05
In case the bulls defend the support level of $1.25 price may reverse and face the resistance level of $1.26, $1.27 and $1.28. The breakdown of $1.25 level may reduce the price to $1.24 and $1.23 levels.
GBPUSD Market
Key levels:
Resistance levels: $1.26, $1.27, $1.28
Support levels: $1.25, $1.24, $1.23
GBPUSD Long-term trend: Bearish
GBPUSD is bearish on the daily chart. The currency pair has been under the bears’ pressure for more than three weeks. The bearish engulfing candle formed at the resistance level of $1.30 increases the pressure of the bears. The former support levels of $1.27 and $1.26 were penetrated and the support level of $1.24 is tested on April 28. Since then the movement is within the $1.26 and $1.25 levels.
GBPUSD is trading below the 9 periods EMA and the 21 periods EMA which indicate a bearish market. The relative strength index period 14 is at 33 levels with the signal lines pointing downside to indicate sell signal. In case the bulls defend the support level of $1.25 price may reverse and face the resistance level of $1.26, $1.27 and $1.28. The breakdown of $1.25 level may reduce the price to $1.24 and $1.23 levels.
GBPUSD Medium-term Trend: Bearish
GBPUSD is on the bearish movement in the medium-term outlook. The bears’ momentum has pushed the price to the low of $25 levels. It seems the sellers’ pressure is not strong enough to break down the support level as the price consolidates for some time before bulls gained more pressure. There is tendency for the price to experience a bullish reversal at the support level of $1.25.
Today, the bears are dominating the market and the price is trading slightly below the 9 periods EMA and the 21 periods EMA as an indication of bearish market. However, the relative strength index period 14 is at 48 levels pointing downside to indicate sell signal.
0 comments:
Post a Comment