Key Points
- The British Pound is positioned well above the 1.3000 handle and looking for more gains against the US Dollar.
- There is a decent bullish trend line with support at 1.2995 formed on the hourly chart of GBPUSD.
- Today in the UK, the Rightmove House Price Index for April 2017 was reported.
- The result was above the forecast, as the House Price Index printed an increase of 1.2%, more than the last 1.1%.
GBPUSD Technical Analysis
The British Pound was able to gain nicely above 1.2950 and 1.3000 against the US Dollar recently. The GBPUSD pair is currently correcting lower, but likely to find support near 1.2990 and 1.3000 for a push back towards 1.3040.
The pair is currently testing the 21 hourly simple moving average at 1.2998. There is also a bullish trend line with support at 1.2995 formed on the hourly chart.
So, the pair may soon form a base near 1.3000 for a move back towards 1.3040. There are even chances of a new weekly high above 1.3050 if buyers gain control.
UK’s Rightmove House Price Index
Recently in the UK, the Rightmove House Price Index for April 2017 was reported. The market was positioned for an increase of more than 1% in the index in April 2017, compared with the previous month.
The outcome was above the forecast, as the House Price Index printed an increase of 1.2%, more than the last 1.1%. In terms of the yearly change, the Rightmove House Price Index was up by 3%, more than the last 2.2%. The report stated that “Price of property coming to market hits record high, up 1.1% (+£3,547) to £313,655 this month, though lower than the average increase of 1.6% at this time of year over the past seven years “.
Overall, the GBPUSD may spike higher and could easily retest 1.3040 or even break it.
