The GBPUSD currency pair has recently experienced a significant breakthrough, as it broke above the key resistance level at 1.2483. This breakout indicates that the previous downside move from 1.2679 to 1.2307 has potentially come to an end, paving the way for a potential shift in market sentiment.
Traders and investors are now eyeing the potential for further upward momentum in the coming days, as the pair has surpassed the resistance level. The next target for the bulls is likely to be the 1.2679 resistance, which, if breached, could trigger additional buying interest and propel the pair towards higher levels.
The breakout above the resistance level suggests a change in market dynamics, indicating a shift in favor of the British pound. Market participants will closely monitor price action around these levels to assess the strength of the bullish momentum. A sustained move above the resistance level would confirm the completion of the previous downside move and support the case for further upside potential.
It is important to note that near-term support now stands at 1.2430, which could serve as a level of price consolidation or a potential pullback area. As long as this support level holds, the bullish bias remains intact, reinforcing the notion of a potential upward move. However, a break below this support level would negate the current bullish outlook and could lead to a retest of the previous low at 1.2307.