GBPUSD- bullish continuation on break of 1.3337 barrier; daily cloud underpins
Cable is slightly lower on Friday after Thursday’s close in red, but holding above daily cloud top which offers strong support at 1.3273.
Bullish sentiment is expected to stay in play while consolidation holds above cloud top, as bullish techs on daily chart remain supportive.
However, recent rallies still lack close above key barrier at 1.3337 (13 Oct high) to confirm bullish continuation.
Cloud top lies at 1.3273 and marks solid support, together with 55SMA (1.3257) which should ideally contain and keep immediate bulls in play.
Plethora of supports, provided by MA’s and daily cloud base (between 1.3190 and 1.3230) is expected keep the downside protected in case of deeper pullback.
Conversely, break and close below daily cloud would put bulls on hold for stronger correction.
Res: 1.3313; 1.3337; 1.3401; 1.3415
Sup: 1.3273; 1.3226; 1.3214; 1.3190