GBP/USD targets 1.2815 after breaking the triple top at 1.2670

GBP/USD trades near 1.2690, up 0.2% on the day, and Tuesday's 4-hour chart is showing room for further gains after breaking above the triple top at 1.2670, FXStreet’s analyst Yohay Elam reports.

Key quotes

“GBP/USD has broken above the triple top at 1.2670, a stubborn cap that held cable down three times. Now, the cable is battling the 1.2690, a swing high which was seen in mid-June. The next caps are 1.2730 and 1.2750, stepping stones on the way up. The big prize is 1.2815, June's peak.”

“That trounced triple-top of 1.2670 now turns into support, and it is followed by 1.2625, a high point last week. Next, 1.2570 served as support last week and it is followed by 1.2530, where the 200 Simple Moving Average hits the price.”

“GBP/USD is trading well above the uptrend support line which has accompanied it since early July and benefits from upside momentum. The Relative Strength Index is rising but remains below 70 – outside overbought territory. Another move up may already trigger profit-taking.”