The British pound (GBP/USD) is showing signs of stabilization after the U.S. dollar index fell by 0.39% yesterday, limiting further downside pressure on the pair. Price action rebounded to the Kijun-sen (MACD) line, and during the Pacific session, GBP/USD managed to break above it. The pair is now testing the immediate resistance at 1.3525, a key pivot that will determine the next directional move.
If the daily close holds above 1.3525, the path opens toward 1.3631, which corresponds to the June 13 high. The Marlin oscillator has shifted into a more optimistic stance, entering the growth zone and providing additional support for the development of a short-term bullish trend.
However, the four-hour chart paints a more cautious picture. While GBP/USD is pushing against resistance, the Marlin oscillator has yet to enter positive territory. Moreover, just above 1.3525 lies the Kijun-sen line at 1.3562, which serves as an additional hurdle. Therefore, consolidation above 1.3525 alone does not guarantee a continuation higher a decisive breakout above 1.3562, combined with Marlin turning positive, would provide stronger confirmation of upside potential toward 1.3631.
On the downside, failure to sustain recent gains and a drop below yesterday’s low would revive the primary bearish outlook. In such a case, GBP/USD could resume its decline toward the first target at 1.3364, reinforcing the broader downward momentum.
