GBP/USD Price Analysis: Bulls struggle above 1.3820

• GBP/USD consolidates gains after the previous session's strong performance.
• Additional gains for the pair envisioned if price breaks 1.3830.
• Momentum oscillator holds onto the oversold zone with a bullish bias.

GBP/USD prints minor gains on Tuesday in the early European session. The pair recorded a rally of almost 100 pips on Monday.

At the time of writing, the GBP/USD pair is trading at 1.3826, up 0.06% for the day.

GBP/USD daily chart

On the daily chart, GBP/USD tumbled below 1.3700 after testing the high of 1.3908 on July 20. The pair quickly reclaimed the 1.3800 mark in four trading sessions.

The formation of a Doji candlestick after a big green candle suggests indecisiveness among traders. 

The pair moved in a broad trading range of 1.3800 and 1.4000 for the past five months, with price deviations between the period.

If price breaks the session’s high, it could move higher toward the 1.3870 horizontal resistance level.

The  Moving Average Convergence Divergence (MACD) indicator still points at the underlying bullish sentiment. Any uptick in the MACD could bring more buying opportunities.

That said, GBP/USD bulls would like to test July 13 high at 1.3905 followed by the 1.3950  horizontal resistance level.

Alternatively, if price moves lower, GBP/USD could touch the 1.3800 horizontal support level followed by the low of July 26 at 1.3737.

Next, the market participants will march toward the 1.3700 horizontal support level.

GBP/USD additional levels