GBPUSD hits new daily peak; next key resistance target at 1.29236

GBPUSD is pushing to a new session high, approaching the 61.8% retracement of its 2024-to-2025 decline at 1.29236. This key technical level could determine whether the pair continues higher or faces resistance.

Earlier today, GBPUSD moved above a swing zone between 1.2830 and 1.2845, marking a significant technical shift. This break reintroduced the pair into a previous consolidation range that spanned from October 16 to November 12, 2024. During that period, prices fluctuated between 1.2830 and 1.3060 before ultimately breaking lower. With the pair now back inside that range, buyers have gained the upper hand in the short term.

If momentum continues and GBPUSD clears 1.29236, it would reinforce the bullish bias and open the door for a potential move toward the 1.3000 psychological level. Beyond that, traders will be eyeing the 1.3044 to 1.3060 resistance zone, which capped price action during the previous range.

However, failure to hold above 1.2830-1.2845 could signal a false breakout, shifting momentum back in favor of sellers. As price action unfolds, traders will closely watch whether GBPUSD can sustain its gains or if selling pressure emerges at key resistance levels.

This article was written by Greg Michalowski at www.forexlive.com.