GBP/USD Is Testing the Strong Diagonal Support Trendline and There Is a Potential For Longs

The pair has been testing this support for four days now and the diagonal trendline is at the same level as the (EMA)89 on the daily time frame. At the same time it’s becoming more and more obvious that traders are in the mood to buy the GBP.

This situation is a good opportunity to start opening long positions, and in my opinion the stop loss for them should be below 1.4370, which is the low formed on Monday, 9th May. The target of the long positions should be around the 1.4640 level, which is a powerful resistance, visualized by the upper band of the Bollinger Bands and (EMA)200 (the orange line) indicators on the daily time frame.