GBPUSD gained some ground above the potential bearish crossover of the 20- and 40-period simple moving averages (SMAs). The momentum indicators are signaling a neutral-to-bearish retracement as the RSI is pointing down in the positive territory, while the MACD is moving horizontally above the zero line.
However, in case the price continues to rebound off the 1.2670 support level, it could open the door for the 1.3000-1.3035 resistance area. Above this crucial zone, the bulls could meet resistance at the 1.3170 barrier, taken from the inside swing low on September 4. Further advances could lead the pair until the eight-month peak of 1.3481.
Alternatively, a decline beneath the short-term SMAs could see the price hit the lower surface of the Ichimoku cloud at 1.2825 ahead of the 1.2800 psychological mark. Steeper decreases could drive the market towards 1.2670, which is a two-month low.
To sum up, GBPUSD has been in an increasing mode over the last two weeks and any rises above 1.3170 could shift the medium-term phase to bullish as well.
