Youtrading UK
Português Español русский
Register Login
  • Markets
  • Charts
  • Economic Calendar
  • World
  • Economy
  • Insights
  • About Us
No Result
View All Result
Youtrading UK
  • Markets
  • Charts
  • Economic Calendar
  • World
  • Economy
  • Insights
  • About Us
No Result
View All Result
Youtrading UK
No Result
View All Result

GBPUSD Technical Analysis – Bullish double bottom appears to have formed

by Nathan Batchelor
25 August 2021
in Forex
0
GBPUSD Technical Analysis – Bullish double bottom appears to have formed
359
SHARES
8.5k
VIEWS
Share on FacebookShare on TwitterShare on WhatsApp

The British pound is starting to be staging a strong recovery against the US dollar as the potential pushing back of the FED’s tapering announcing is propelling the GBPUSD pair back towards the 1.3800 handle.

Sterling dipped towards the 1.3600 support barrier last week, but more importantly, bulls were able to defend the July low, around the 1.3570 level, which created a notable double-bottom price pattern.

Double bottoms are amongst the most bullish reversal pattern according to technical analysis. As the double bottom pattern forms trades are already taking advantage of the technical phenomenon, with the pair rallying by 200 points.

Something else to note is that bulls now need to tackle the 200-day moving average, around current levels, 1.3790. The weekly candle closed under the 200-day MA for the first-time this year last week.

Should we see the 200-day surpassed, with multiple daily candles stabilizing above the important technical metric then sterling could attack towards the 1.3900 level. If this happens then a large bullish pattern will form, which would predict even more gains towards the best levels of the year.

According to the ActivTrader Market Sentiment tool some 72 percent of traders now have a bearish bias towards the GBUSD pair. This is great news for further short-term gains in sterling.

The increasing bearish sentiment skew, up my nearly 10 percent since last week, is very bullish as we do usually look to trade in the opposite direction of the retail crowd when looking for sentiment trades.

GBPUSD Short-term Technical Analysis

Looking at the four-hour time frame the GBPUSD pair has formed a large, inverted head and shoulders pattern, with bulls needing to move the price back towards the 1.3900 level to activate the bullish pattern.

It is also noteworthy that a significant amount of bullish MACD price divergence is present until the 1.4000 level. At some point it is likely that the GBPUSD pair is going to heads towards the 1.4000 level as the MACD divergence reverses. Hence why I am still bullish towards the GBPUSD pair.

See real-time quotes provided by our partner.

GBPUSD Medium-term Technical Analysis

According to the daily time frame a much larger inverted head and shoulders has been forming in the background, with the price needing to reach the 1.4400 level to officially confirm the structure of the pattern.

The pattern would be extremely large if it forms, as it can be formed from the 2018 high to the 2020 trading low. This would mean that the pattern holds nearly 3,000 points of upside potential.

See real-time quotes provided by our partner.

Tags: FedGBPUSD
Previous Post

The US full approval of the Pfizer jab keeps oil markets buoyed

Next Post

The US dollar is starting robustly against other G7 currencies

Next Post
Greenback Selling Resumes

The US dollar is starting robustly against other G7 currencies

CALL US

Categories
  • Commodities
  • Economy
  • Forex
  • Index
  • Insights
  • Markets
  • Opening of the Week
  • Sem categoria
  • Stocks
  • World

Site Map

  • Home
  • Markets
  • Charts
  • Economic Calendar
  • World
  • Economy
  • Insights
  • About Us
Português Español русский

A comprehensive website for traders, both experienced and new! Checkout our content and learn how to invest and speculate in the markets using margin traded products. Our team of educators has extensive experience and is here to help. Enjoy!

Follow us on social media

Risk Warning

All financial products traded on margin carry a high degree of risk to your capital. They are not suited to all investors, please ensure that you fully understand the risks involved, and seek independent advice if necessary.

All Rights Reserved - YouTrading UK 2020

Privacy Policy and Terms and Conditions
  • Home
  • My Academy
    • Register Now
    • Login
  • Markets
    • Opening of the Week
    • Stocks
    • Commodities
    • Forex
    • Index
  • Charts
  • Economic Calendar
  • Economy
  • World
  • Insights
  • About Us
No Result
View All Result

© 2020 YouTrading UK - Leaders in Trader Training.

We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
Do not sell my personal information.
Cookie settingsACCEPT
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
__cfduid1 monthThe cookie is used by cdn services like CloudFare to identify individual clients behind a shared IP address and apply security settings on a per-client basis. It does not correspond to any user ID in the web application and does not store any personally identifiable information.
_wpfuuid11 yearsThis cookie is used by the WPForms WordPress plugin. The cookie is used to allows the paid version of the plugin to connect entries by the same user and is used for some additional features like the Form Abandonment addon.
cf_use_obThis cookie is set by the provider Cloudflare content delivery network. This cookie is used for determining whether it should continue serving "Always Online" until the cookie expires.
cookielawinfo-checbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-advertisement1 yearThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Advertisement".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
CookieDurationDescription
YSCsessionThis cookies is set by Youtube and is used to track the views of embedded videos.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
CookieDurationDescription
_ga2 yearsThis cookie is installed by Google Analytics. The cookie is used to calculate visitor, session, campaign data and keep track of site usage for the site's analytics report. The cookies store information anonymously and assign a randomly generated number to identify unique visitors.
_gid1 dayThis cookie is installed by Google Analytics. The cookie is used to store information of how visitors use a website and helps in creating an analytics report of how the website is doing. The data collected including the number visitors, the source where they have come from, and the pages visted in an anonymous form.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
CookieDurationDescription
_fbp3 monthsThis cookie is set by Facebook to deliver advertisement when they are on Facebook or a digital platform powered by Facebook advertising after visiting this website.
fr3 monthsThe cookie is set by Facebook to show relevant advertisments to the users and measure and improve the advertisements. The cookie also tracks the behavior of the user across the web on sites that have Facebook pixel or Facebook social plugin.
IDE1 year 24 daysUsed by Google DoubleClick and stores information about how the user uses the website and any other advertisement before visiting the website. This is used to present users with ads that are relevant to them according to the user profile.
test_cookie15 minutesThis cookie is set by doubleclick.net. The purpose of the cookie is to determine if the user's browser supports cookies.
VISITOR_INFO1_LIVE5 months 27 daysThis cookie is set by Youtube. Used to track the information of the embedded YouTube videos on a website.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
CookieDurationDescription
_gat_UA-42160853-21 minuteNo description
cf_ob_infoNo description
CONSENT16 years 8 months 3 days 6 hours 2 minutesNo description
SAVE & ACCEPT
Powered by CookieYes Logo