GBP/USD forecast for February 9, 2021
Looking at the GBP/USD pair chart on the weekly time frame, we see that the pound is progressing well against the dollar and expecting the bulls trend to continue. For the target, we can first set a 1.40000 psychological level for traders and investors, and if the foot withstands the pressure, the next target is our previous lower high at 1.43700. All moving averages are on the bullish side and, for now, are holding the pound’s support, pushing it to higher levels.
We see that the GBP/USD pair a break was made above 38.2% at higher Fibonacci retracement levels and that our next target is at a 50.0% retracement level. If we look at the bearish side, a smaller pullback is possible in the form of consolidation to the lower moving averages MA20 and EMA20, which support continuing the bullish trend and the first obstacle towards the bearish trend.
On the daily time frame, we also see a strong bullish trend with support for moving averages MA20 and EMA20 and stronger support with MA50 from below. The GBP/USD pair is currently testing 1.38000, making a smaller pullback consolidating for the next bullish momentum.
Essential support is on the psychological level for investors at 1.35000. The break below that leads us to the bearish side and the negative side for the pound.
As support, we can use the trend line that connects the previous lows in this bullish move.
On the four-hour time frame, we see that the GBP/USD pair moves in one large ascending channel and that as excellent support, it finds itself in the moving averages of the MA200 and EMA200.
For now, the GBP/USD pair encounters resistance at 1.38000 and makes a smaller pullback, and if it is, we can expect it to 1.36000 the lower edge of the channel where we expect support and the continuation of the bullish trend. If we see a break below the bottom line of the channel, we can look at a possible reversal of the bearish side trend.
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