Yahoo Finance GBP/USD Price Forecast – British pound continues to look strong
The British pound went back and forth during the trading session, poking back enough to allow people to take a bit of profit during the trading session on Wednesday. This is a market that seems to be free of the 1.30 level, at least in the short term. After the move above there, it’s likely that we should continue to go to the 1.32 level and that dips will continue to offer value the people are willing to take advantage of.
GBP/USD Video 21.02.19
The 1.28 level underneath now should be massive support, as it also coincides with an impulsive candle from a couple of sessions ago, and the 50% Fibonacci retracement level that has held up. The downtrend line that had been so bearish previously now is offering support. If we can break above the 1.32 handle, then I think we could go as high as the 1.33 handle, and then possibly the 1.35 level.
At this point, it’s difficult to imagine who is left to sell the British pound, and I think we are in the process of bottoming longer-term. If this is a trend change, these things are normally pretty messy, so it would make quite a bit of sense. With that type of choppiness, you should have plenty of buying opportunities on dips and therefore careers could be made in this move. I believe the absolute “floor” of the British pound is somewhere closer to the 1.27 level these days.
Please let us know what you think in the comments below
This article was originally posted on FX Empire
