GBP/USD Up 5 Pips Over Past Hour, Came Into Today Down For the 2nd Day In A Row; Nears 20 Day Moving Average

Hourly Update

(Last Updated November 13, 2020 1:32 GMT)

At the moment, GBPUSD’s rate is up 0.0005 (0.04%) from the hour prior. This move is a reversal from the hour prior, which saw price move down. As for the trend on the hourly timeframe, we see the clearest trend on the 20 hour timeframe. Price action traders may also wish to note that we see a doji candlestick pattern on GBPUSD. Given that we see downtrend on the 20 hourly candle timeframe, and that such candlestick patterns often denote reversals, this may be worth noting. Of note is that the 100 hour changed directions on GBPUSD; it is now pointing down. 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 down 111 pips (0.84%) since the day prior (opening today near 1.31078), marking the 2nd day in a row a decrease has occurred. Compared to its peers in the Forex, GBPUSD gave its buyers a return that ranked 30th in terms of percentage change since the day prior. Let’s take a look at 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 moving averages, which may act as price barrier for the asset. The clearest trend exists on the 14 day timeframe, which shows price moving up over that time. Or to simplify this another way, note that out of the past 14 days GBPUSD’s price has gone down 8 them.

The View From Around the Web

Of note is that traders in aggregate have opinions on GBPUSD, with 21 buy signals on our radar and 19 sell signals. This imputes a buy/sell ratio of 1.11, which is neutral. As for the rationale, technical traders seem to be citing the appearance of fibonacci and trendline technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

GU has been struggling to make higher highs and has been clinging to the weekly trendline making frequent touches as it has approached our resistance level….This all signals a weakening bullish trend and I suspect that GU will be breaking the weekly trendline some time next week….If it does, we can look at the identified support level below as a possible target.