GBPUSD Down 15 Pips On Hourly Chart, in an Uptrend Over Past 30 Days; Eyes 20 Day Average

Hourly Update

(Last Updated June 7, 2021 3:21 GMT)

At the moment, GBPUSD’s rate is down -15 pips (-0.1%) from the hour prior. The hourly chart shows that GBPUSD has seen 2 straight down hours. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 100 hour timeframe. Regarding moving averages, it should first be noted that price has crossed the 100 and 20 hour moving averages, resulting in them with price now being below them. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

GBPUSD End of Day Recap

Updated 00:30 GMT (04:30 EST)

GBPUSD is up 3 pips (0.02%) since yesterday (opening today near 1.4161), marking the 2nd day in a row an increase has occurred. Relative to other instruments in the Forex asset class, GBPUSD ranked 18th yesterday in terms of percentage price change. Here is a price chart of GBPUSD.

GBPUSD

GBPUSD Technical Analysis

The first thing we should note is that GBPUSD is now close to its 20, 50 and 100 day averages, located at 1.4154, 1.4 and 1.3939 respectively, and thus may be at a key juncture along those timeframes. Volatility for GBPUSD has been contracting over the past two weeks relative to volatility over the past month. Whether volatility reverts will be something to watch. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving up. Price action traders in particular will want to note that the 14 day period appears to show price forming a base; this could indicate that a support/resistance level is developing. Or to simplify this another way, note that out of the past 30 days GBPUSD’s price has gone up 17 them.