GBP/USD: technical analysis

Aug 21, 2026, 11:03:11 AM

Current trend

The GBP/USD pair is moving in a wide sideways range of 1.3183–1.3671 (Murrey [0/8]–[8/8]), turning around from its lower border at the end of June and now approaching the upper one. After the breakout of 1.3671 (Murrey [8/8]), the growth is expected to continue to the targets of 1.3793 (Murrey [+2/8]) and 1.3870 (the area of annual highs), but in case of consolidation below the middle line of the Bollinger Bands at 1.3488 (Murrey [5/8]), a decline is expected to the area of 1.3305 (Murrey [2/8], lower line of the Bollinger Bands), 1.3183 (Murrey [0/8]), 1.3061 (Murrey [–2/8]).

Technical indicators maintain a buy signal: the Bollinger Bands are turning upwards, the MACD histogram is increasing in the positive zone, and Stochastic has reached the overbought area, which does not rule out a limited correction. In addition, on the daily chart, the Bollinger Bands are also turning upwards, starting the formation of a new upward trend and confirming the probability of positive dynamics developing.

Support and resistance

Resistance levels: 1.3671, 1.3793, 1.3870.

Support levels: 1.3488, 1.3305, 1.3183, 1.3061.

Trading tips

Long positions can be considered above the level of 1.3671 with the targets at 1.3793, 1.3870 and stop loss 1.3580. Implementation period: 5–7 days.

Short positions can be considered below the level of 1.3488 with the targets at 1.3305, 1.3183, 1.3061 and stop loss 1.3600.

Scenario

Time frame	Weekly
Recommendations	BUY STOP
Entry Point	1.3671
Take Profit	1.3793, 1.3870
Stop Loss	1.3580
Support levels	1.3061, 1.3183, 1.3305, 1.3488, 1.3671, 1.3793, 1.3870

Alternative scenario

Recommendations	SELL STOP
Entry Point	1.3488
Take Profit	1.3305, 1.3183, 1.3061
Stop Loss	1.3600
Stop Loss	1.3061, 1.3183, 1.3305, 1.3488, 1.3671, 1.3793, 1.3870