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GBP/USD has moved out of the descending broadening channel, as seen on the hourly chart, and the upside is currently being capped by the 50-hour moving average.

Hourly chart

The upside break of the falling channel is backed by the RSI’s move into bullish territory above 50.

As a result, the spot could soon find acceptance above the 50-hour moving average (MA), currently at 1.2991, and could rise to the hourly chart resistance at 1.3029.

The bullish case would weaken if the 50-hour MA, which is now flat lined (has shed bearish bias), proves a tough nut to crack.

Trend: Cautiously bullish

Pivot points