GBP/USD has captured the attention of market participants with its hourly ADX(14) hurdling above the 50 level.

Accordingly to the ADX indicator, GBP/USD has surged above the key 50 level in a technical event that threatens the potential for its price action to remain constructive. Such a strong move encourages bulls to pile in, likely positioning stops close to the market to lock in profit. This may have the opposite effect of a squeeze, driving the prices lower to find less impulsive buyers.

GBP/USD ADX tied to an extreme

(Market News Provided by FXstreet)

By FXOpen