GBP/USD Price Analysis: Holds position above 1.2850 nearing a pullback resistance

• GBP/USD moves upward within an ascending channel, signaling a bullish bias.
• The 14-day RSI is positioned just below the 70 level, indicating potential overbought conditions in the pair.
• A break above the pullback resistance at the 1.2860 level could lead the pair to test the upper boundary.

GBP/USD continues to advance for the second consecutive session, trading around 1.2860 during Asian hours on Thursday. The analysis of the daily chart shows that the pair is moving upward within an ascending channel, which indicates a bullish bias in the pair's price action.

Additionally, the 14-day Relative Strength Index (RSI) is positioned slightly below the 70 level, indicating confirmation of the bullish trend while also suggesting potential overbought conditions. A breach above this level could signal a need for caution, possibly indicating a forthcoming correction.

Furthermore, the Moving Average Convergence Divergence (MACD) momentum indicator indicates bullish momentum in the short term. This is evidenced by the MACD line being above the centerline and showing divergence above the signal line.

In terms of resistance, the GBP/USD pair tests pullback resistance near the 1.2860 level. A successful breakthrough above this barrier could potentially push the pair higher to test the upper boundary of the ascending channel around the 1.2870 level.

On the downside, the GBP/USD pair could encounter significant support near the 14-day Exponential Moving Average (EMA) at the 1.2763 level. If this level is breached, it may lead to increased selling pressure, potentially testing the lower boundary of the ascending channel around 1.2740. Further support could be found around the throwback support level of 1.2615.

GBP/USD: Daily Chart