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GBP / USD: the pair is consolidating after strong growth

GBP / USD overview of April 21, 2021


GBP / USD is showing mixed performance on Wednesday, trading around 1.3940.

The British Sterling is strengthening against other major currencies against the backdrop of a reduction in restrictive measures, which suggests a stable recovery of the British economy.

The macroeconomic statistics released today did not support the pound, as the data came out ambiguous. In particular, the March CPI showed a slight increase of 0.3%, but on an annualized basis, the indicator slowed down to 0.7%. The purchase price index in March rose by 1.3%.

The dollar index is growing today, breaking through the key resistance at 91.00. In the United States, protests have begun over the announcement of the verdict of George Floyd, although the majority of the population accepted the verdict with approval, believing that a point in this process would return peace and safety to the streets.

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By daily GBP / USD has broken through the upper border of the inclined channel. The Alligator has straightened up correctly, the awesome oscillator indicator has moved into the positive area.

gbpusd_daily
gbpusd_daily

A breakdown above the resistance area 1.4000-1.4008 will indicate the continuation of the upward movement. The closest target for buyers is 1.4231. Stop loss is set at 1.3900.

To sell, you need to wait for the pair to consolidate below 1.3875. Take profit 1.3677. The stop loss is placed at 1.3930.

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