The Great Britain Pound (GBP) inched higher against the US Dollar (USD) on Wednesday, increasing the price of GBPUSD to more than 1.2900 following key economic releases. The technical bias may remain bullish because the pair’s price marked a lower high in the recent downside move.

GBP/USD Technical Analysis

Currently, the pair is being traded around 1.3143, a resistance can be noted around 1.3211, the trend line resistance is the point of reference. Another resistance may come near 1.3250, the psychological number and then comes a  key horizontal resistance around 1.3296, which is likely to resist the price from increasing further as demonstrated in the given below chart.

On the downside, a support can be witnessed around 1.2995, the major horizontal support. Another support level may come around 1.2922, the 38.2% Fib level support and then the key horizontal support is likely to come across around 1.2834 which may prevent the price of the pair from falling below this level as demonstrated in the given above chart. The technical bias shall remain bearish as long as 1.3066, a major horizontal resistance level remains intact.

The United States Michigan Consumer Sentiment Index News

In the United States, the index rate of Michigan consumer sentiment remained 100.8 in September, as compared to 96.2 during the month before, up beating the economist expectation which was 96.6, the data is copied from the news released by the University of Michigan, United States.

The figure represents the level of consumers’ confidence in the economic activity of the US Dollar (USD). The data indicates if the consumer is willing to spend more money or not. Generally speaking, a high or positive reading in this regard is considered as a bullish trend for the US Dollar and vice versa.

Trade Idea

Considering the overall price behavior of the pair over the last couple of days, buying the GBPUSD around current levels can be a good decision in short to medium term.