The GBP/USD pair rose on the first day of the year, trading around the 1.3470 level during Asian business hours on Friday. Technical analysis on the daily chart indicates a weak bullish bias, as the pair is still slightly below the lower border of the ascending channel pattern.
The nine-day Exponential Moving Average (EMA) is rising and standing above the 50-day EMA, with the spot price holding above both and maintaining an upward slope. The slope of the 50-day EMA is positive, supporting the uptrend. Short-term trend dynamics remain supportive, as the 9-day moving average continues to lead the 50-day moving average, and the first price is respected on pullbacks. A moving average formation would keep the upside favored while the average rises in the medium term.
The 14-day Relative Strength Index (RSI) at 62.76 (bullish) confirms strong momentum below overbought conditions. The RSI remains around 62.76 above the midline, reinforcing the bullish bias and leaving room for further gains.
A return to the up channel would support GBP/USD to test the three-month high of 1.3534, reached on December 24. A daily close above this level could open a move towards a six-month high at 1.3726, followed by the upper limit of the ascending channel around 1.3750.
Failure to bounce within the channel could provide stimulus, but a break below the nine- and 50-day moving averages at support 1.3468 and 1.3362, respectively, would undermine short- and medium-term advances. Further declines would put downward pressure on GBP/USD to move into the area around the eight-month low at 1.3010.
The price of the British pound today
The table below shows the percentage change of the British Pound (GBP) against the major currencies listed today. The British pound was the strongest against the Japanese yen.
| US dollars | euro | GBP | JPY | Canadian | Australian dollar | New Zealand dollar | Swiss franc | |
|---|---|---|---|---|---|---|---|---|
| US dollars | -0.13% | 0.01% | 0.06% | -0.05% | -0.29% | -0.07% | -0.11% | |
| euro | 0.13% | 0.00% | 0.18% | 0.08% | -0.22% | 0.06% | 0.02% | |
| GBP | -0.01% | 0.00% | 0.19% | 0.04% | -0.22% | 0.06% | 0.03% | |
| JPY | -0.06% | -0.18% | -0.19% | -0.12% | -0.48% | -0.19% | -0.16% | |
| Canadian | 0.05% | -0.08% | -0.04% | 0.12% | -0.28% | -0.04% | -0.05% | |
| Australian dollar | 0.29% | 0.22% | 0.22% | 0.48% | 0.28% | 0.28% | 0.25% | |
| New Zealand dollar | 0.07% | -0.06% | -0.06% | 0.19% | 0.04% | -0.28% | -0.03% | |
| Swiss franc | 0.11% | -0.02% | -0.03% | 0.16% | 0.05% | -0.25% | 0.03% |
The heat map shows the percentage changes in major currencies versus each other. The base currency is chosen from the left column, while the counter currency is chosen from the top row. For example, if you select the British pound from the left column and move along the horizontal line to the US dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).
(The technical analysis for this story was written with the help of an artificial intelligence tool.)
