GBPUSD bulls have regained momentum and are poised for a renewed assault on significant resistance levels

Cable showed resilience despite the positive US PMI data on Thursday and disappointing UK retail sales figures on Friday. It managed to climb above the 1.2700 mark during US trading on Friday.

The pair is set for its second consecutive weekly gain, potentially forming a bullish engulfing pattern on the daily chart, which would reinforce the positive short-term outlook.

Nevertheless, sustained bullish momentum requires additional effort to overcome resistance signals from recent candlestick patterns and the 1.2753 Fibonacci barrier (76.4% retracement of the 1.2893 to 1.2299 decline), necessitating a weekly close above 1.2753.

Supporting the bullish sentiment are multiple daily moving average bull crosses and strong positive momentum. Yet, failure to breach the 1.2753 pivot may confine the pair within a range defined by two Fibonacci levels.

The short-term bias remains bullish as long as the price holds above the 10-day moving average and the broken Fibonacci 61.8% level (1.2677/66). A breach below these levels, however, could weaken the near-term structure and expose the pair to a deeper pullback.

Res: 1.2753; 1.2761; 1.2803; 1.2823
Sup: 1.2677; 1.2666; 1.2633; 1.2598