Bulls extend gains and approach July highs

• The pair expects a break above 1.3100 as bullish momentum strengthens
• The RSI and MACD indicators suggest a continuation of the upward trend.
• The next buyer target is 1.3100.

In Tuesday’s session, GBP/USD continued its upward trajectory, rising 0.32% to 1.3030 near mid-July highs, with bullish momentum gaining significant ground as indicated by recent sessions of trading.

The technical outlook for the GBP/USD pair remains bullish. The Relative Strength Index (RSI) has risen steadily in recent sessions and is now above 50, indicating strong buying pressure. The Moving Average Convergence Divergence (MACD) also supports the uptrend as it has trended upward and is currently showing rising green bars. Furthermore, the pair is trading well above its 20-day moving average (SMA) of 1.2830, which reinforces the near-term bullish trend.

GBP/USD faces resistance at 1.3100 and 1.3150, which are the immediate hurdles the pair needs to overcome to continue its upward momentum. Support levels are 1.2900 and 1.2850. If the pair breaks below 1.2900, it could signal a potential trend reversal.

GBP/USD Daily Chart