GBP/USD Targeting New Highs After The BoE!|KOL Analysis•Olimpiu Tuns

GBP/USD is bullish and is expected to approach and reach new highs in the upcoming hours as the Bank of England has maintained its monetary policy. The pair is traded at 1.3156, above 1.3125 today’s opening, the next target is set at the 1.3171 former high.

Technically, GBP/USD could jump way higher in the upcoming period after the valid breakout above the 1.3000 psychological level. The Pound rallied after the BoE decision to keep the Official Bank Rate at the 0.10% record low, the MPC members have voted unanimously for this decision.

Also, the Asset Purchases Facility was left unchanged today at 745B as expected, GBP/USD edges higher as the USDX continues to drop and it’s almost to hit fresh new lows. The US will publish the Unemployment Claims today, the indicator could drop from 1434K to 1410K in the previous week, but I don’t believe that this report could save the greenback from the downside.

● GBP/USD In The Buyer’s Territory!

GBP/USD is trading in the green and it should resume its bullish momentum. Most likely the rate will jump far above the 1.3171 previous high, the next major upside targets are seen at the 50% Fibonacci line and the 1.3500, near the 100% level.

I’ve told you in my previous analyses that GBP/USD will increase further if it makes a valid breakout above the median line (ML) of the major ascending pitchfork. The median line (ML) represented a very strong dynamic resistance, the rate has jumped above it, it has decreased a little, but it has failed to retest the broken dynamic resistance signaling strong buyers.

The pair has retested only the 78.6% retracement level, the 1.3062 level, so the perspective will be bullish as long as the quote is located above the median line (ML). A stronger consolidation above the 78.6% level and a median line (ML) retest would have given us a great chance to go long. Though, another higher high, a jump and close above the 1.3171 could validate a larger bullish momentum.

● GOLD Another Breakout Attempt!

XAU/USD is traded at $2,051 level and it seems determined to jump above $2,055 yesterday’s high, all-time high. The bullish momentum was paused in the first instance by the 250% Fibonacci line, a valid breakout above this dynamic resistance will signal further growth towards the $2,100 level and towards the second warning line (WL2).

● USD/JPY Within A Down Channel!

USD/JPY is trading in the red at 105.47 level, the bias remains bearish as the rate is still trapped within the down channel between the 50% Fibonacci lines of the descending pitchfork.

The pair has come back to retest the 105.98 static resistance and now is pressuring the median line (ML) of the descending pitchfork. The bearish bias will remain intact as long as USD/JPY will be traded below the 105.98 and most important below the upside 50% Fibonacci line.

The major bullish candle from July 31 has signaled that we may have a larger rebound, but the USD remains under selling pressure as long as the USDX drops. We’ll have a long opportunity when USD/JPY will make an upside breakout above the upside 50% Fibonacci line, channel’s resistance.

{About the Author}

Olimpiu Tuns is a seasoned market analyst / trader / trainer on the financial markets with expertise in forex, cryptocurrencies, commodities, futures, options, index, CFD for more than 8 years. He is also a famous blogger in both technical and fundamental analysis, trading signals, trade setups, etc.

He has worked as a Market Analyst / Consultant for three major Brokerage companies, Admiral Markets, MultiBank Exchange Group and InstaForex (live webinars, market analysis, educational materials, video analysis, video tutorials, ghostwriting, content creator), as a Social Media Manager and as a Financial Markets & Crypto Analyst / Contributor for very important news portals/blogs (investing.com, benzinga.com, forexalchemy.com actionforex.com, countingpips.com), websites, educational platforms (Forex.Academy, Forex.Today), independent clients, etc.

Olimpiu Tuns currently works as a Financial Markets & Crypto Analyst / Signal Provider / Trader / Trainer.

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