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The GBP/USD pair has pushed to a new high for the year and above trend resistance at 1.3788, which should reinforce the existing major base for a move to 1.4000, ahead of 1.4302/77, analysts at Credit Suisse appraise.

Key quotes

“GBP/USD continues to push higher following last week’s bullish ‘reversal day’ for a move above the 1.3759 high to turn the focus back on trend resistance from the beginning of the year seen at 1.3788 today. We would then see resistance next at 1.3804 ahead of 1.4000 and then our first major objective at 1.4302/77 – the key 2018 highs and 50% retracement of the 2014/2020 bear trend – which we expect to cap for a fresh consolidation phase.” 

“Big picture, we continue to look for an eventual move to 1.49/1.51.” 

“Support is seen at 1.3759/58 initially, then 1.3731, with the 13-day exponential average now at 1.3700 and with the immediate risk seen higher whilst above 1.3681. Back below here would raise the prospect of further sideways ranging and a fall back to 1.3651.”