GBPUSD Stays Overbought at 1.3356 Level With No Sign of Upward Exhaustion

GBPUSD Price Analysis – August 30

At the end of the week, the GBPUSD pair breached higher to hit a fresh 2020 high of 1.3356 marks, finishing the week with a couple of pips beneath but no sign of upward exhaustion. The lack of UK macroeconomic variables and Brexit-related news has been playing in favor of advancing the pound sterling.

Key Levels
Resistance Levels: 1.4376, 1.3514, 1.3461
Support Levels: 1.2982, 1.2813, 1.2641
GBPUSD Long term Trend: Bullish
As per the daily chart, the GBPUSD pair is bullish, as it has intensified its progress beyond a slightly emerging MA 5. Meanwhile, technical indicators present upward trends within positive ranges.

In the wider sense, the initial emphasis is now on a resistance level of 1.3514. The decisive breach there should at least indicate bottoming at 1.1409 level on a medium to long term. A further increase to 1.4376 resistance level may be seen initially.
GBPUSD Short term Trend: Bullish
Last week’s GBPUSD rebound from level 1.1409 persisted and hit a level of 1.3356. The pair is overbought in the short-term and per the 4-hour chart but without any signs of bullish exhaustion. This week’s initial bias lingers on the upside.

The next goal is a forecast of 161.8 percent from 1.2252 to 1.2813 levels at 1.3461 levels. Breakage of 1.3005 support levels on the downside is required to suggest short-term topping. Alternatively, the overall trend in the event of a retreat may stay bullish.

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