GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

- Bullish Rebound Setup: Price rebounding near 50-SMA and ascending trendline support.

- Engulfing Candle Confirmed: Bullish price action suggests buyers may attempt a short-term reversal.

- RSI Turning Higher: At 45.12, momentum is shifting back toward bulls without being stretched.

GBP/USD has found support around the 1.3291 level following a sharp pullback from its recent highs near 1.3415. The pair is now attempting to regain footing above the 50-period SMA (1.3318), which could serve as a pivot for bullish continuation. Price action suggests potential for a rebound if buyers maintain control above the 1.3291 trigger level.

A bullish engulfing candle has formed near the rising trendline and 50-SMA support zone, reinforcing a potential reversal. This pattern gains significance with RSI recovering from 45.12 — signaling early bullish momentum without entering overbought territory.

If the pair holds above 1.3291, the upside target sits at 1.3395. A break below 1.3228 would invalidate the setup and expose GBP/USD to deeper correction levels.

GBP/USD - Trade Ideas

Entry Price – Buy Above 1.32918

Take Profit – 1.33954

Stop Loss – 1.32284

Risk to Reward – 1: 1.6

Profit & Loss Per Standard Lot = +$1036/ -$634

Profit & Loss Per Mini Lot = +$103/ -$63