Published: 2026-01-20T15:19:02.000Z
Chart GBP/USD Update: Further gains to remain limited
1
Cautious trade around 1.3400 has given way to a sharp bounce
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3725 | ** | 17 Sep (m) high | S1 | 1.3450 | congestion | ||
| R3 | 1.3600 | ** | congestion | S2 | 1.3400 | * | congestion | |
| R2 | 1.3555 | ** | 76.4% ret of Sep-Nov fall | S3 | 1.3350 | * | congestion lows | |
| R1 | 1.3500 | * | congestion | S4 | 1.3300 | * | congestion |
Asterisk denotes strength of level
15:05 GMT - Cautious trade around 1.3400 has given way to a sharp bounce, with prices reaching 1.3490~ before settling into choppy trade around 1.3450/60. Oversold daily stochastics are ticking higher, unwinding positive divergence, and the bearish daily Tension Indicator is flattening, suggesting an improvement in sentiment and room for further gains. Resistance is at congestion around 1.3500. But negative weekly charts should limit any extension beyond here in profit-taking/consolidation beneath the 1.3555 Fibonacci retracement. Meanwhile, support is down to congestion around 1.3400 and should underpin any immediate setbacks.