GBP/USD: Upsurge testing major resistance

The GBP/USD pair rallied around 125 pips intraday in reaction to the latest UK political developments and jumped to over one-week tops, around the 1.3070 region on Thursday.  Haresh Menghani from FXStreet sees a fresh trigger for bullish traders. 

Key quotes

“The cable now seems to have entered a bullish consolidation phase and was seen oscillating in a narrow trading band through the Asian session on Friday.”

“The overnight upsurge stalled near 50-day SMA hurdle. Some follow-through buying above the mentioned barrier might be seen as a fresh trigger for bullish traders and set the stage for a possible move beyond the 1.3100 round-figure mark, towards testing its next major hurdle near the 1.3145-50 region.”