GBPUSD breaking 1.3980: Buys in play

Avatar
30 July 2021 | Updated: 30 July 2021

Key Support: 1.3940
Key Resistance: 1.3980 – 1.4080

The GBPUSD has rallied 3% (407 pips) from last week’s lows around the 1.3560 level. This base / key level is where we saw buyers jump in at the beginning of February pushing price up about 5.07% (687 pips) to test the massive 1.42 level.

Last week. buyers jump in again at this exact same level and now price is trading inside a very structured bullish move.

we haven’t seen any real deep pullbacks in this move which suggests, with the USD dipping, a very strong Pound. The deepest pullback was just 0.59%.

Right now, the GBP’s upside is being capped by the 1.3980 level (yesterday’s and today’s highs) whilst creating higher lows. This trade is more USD driven in the sense that we are looking at further downside after the break of the reversal pattern and the extremely dovish press conference yesterday from Chairman Powell. The main topic was inflation and most importantly, the non tapering of the current asset purchasing program.

All of this is as bearish as it gets for the USD.

Our buy stops on the Pound-Us Dollar are aimed at a break of today’s lows on the USD come pre market volume.

  • Broker
  • Benefits
  • Min Deposit
  • Score
  • Visit Broker
  • Fund Moneta Markets account with a minimum of $250
  • Opt in using the form to claim your 50% deposit bonus
$250 Min Deposit
9
  • 20% welcome bonus of upto $10,000
  • Minimum deposit $100
  • Verify your account before the bonus is credited
$100 Min Deposit
9
  • The Lowest Trading Costs
  • 50% Welcome Bonus
  • Award-winning 24 Hour Support
$200 Min Deposit
9
  • Award-winning Cryptocurrency trading platform
  • 14 Cryptoassets available to invest in
  • FCA & Cysec regulated
$200 Min Deposit
9.8

Highly volatile unregulated investment products. No EU investor protection.

  • Over 100 different financial products
  • Invest from as little as $10
  • Same-day withdrawal is possible
$100 Min Deposit
9.8
  • Trade top Cryptos such as Bitcoin, Litecoin and Ethereum plus more
  • Zero commissions and no bank fees on transactions
  • Around the clock service with support in 14 languages
$100 Min Deposit
8.5
  • Award-winning Cryptocurrency trading platform
  • $100 minimum deposit,
  • FCA & Cysec regulated
$100 Min Deposit
9.8
Share with other traders!