Trade of the Day: GBP/USD

GBP/USD recently broke the key resistance level 1.2452, which was recently identified by Autochartist. Autochartist rates the significance of this resistance level at the 5-bar level – which is the result of the five previous reversals from this price level. GBP/USD is expected to continue to rise toward the forecast price 1.2582.

As can be seen from the daily GBP/USD chart below – the pair earlier reversed up from the key support level 1.2340 (which also previously reversed the pair twice in April), intersecting with the lower daily Bollinger Band and the 38.2% Fibonacci correction of the sharp upward impulse from the start of March. The proximity of the support level 1.2340 and the clear daily uptrend increase the probability GBP/USD will continue to rise toward the forecast price 1.2582.