The British pound is trading above the 21 SMA and above the 3/8 Murray. During the European session, the British pound was trading around the uptrend channel support at 1.2029.
A strong technical bounce is currently developing. GBP/USD is likely to continue its rise in the next few hours and the instrument could reach the 200 EMA located at 1.2175 and could even reach 4/8 Murray at 1.2207.
The pivot point for today is located at 1.2080. Any bounce towards this zone will be considered an opportunity to buy. In case the British pound consolidates above the 21 SMA located at 1.2089, we can expect it to continue rising and could reach 1.2173 and 1.2207.
With a daily close above 1.2173 and above 1.2207, we could expect GBP/USD to reach 5/8 Murray located at 1.2329 and 1.2451.
In case the pair is rejected by the strong resistance that ranges from 1.2173 to 1.2207, we could expect a fall. Hence, GBP/USD could reach 1.2080 and the psychological level of 1.200.
The eagle indicator is giving a positive signal and suggests that any technical bounce above 1.2080 will be seen as the signal to buy.