GBP/USD Price Forecast – British Pound Acting Confused
The British pound has been all over the place during the trading session on Thursday, as we continue to see a lot of push and pull when it comes to not only the British pound, but currencies in general. The markets look as if they are going to continue to pay attention to the coronavirus issues, and what that means for the various economies in the world. That being said though, Boris Johnson stated during the trading session that unless the United Kingdom get some type of Canada style free-trade agreement with the European Union and unless it’s obvious by June, he’s walking away from negotiations. That may have weighed upon the British pound a bit, but at this point there is a lot of support just below.
GBP/USD Video 28.02.20
To the upside, the 1.30 level above is looking very likely to be a resistive barrier, with the 50 day EMA hanging around there and certainly will continue to affect the market as well. That being said, the market is likely to see a lot of volatility, but I do think we are getting close to a point where we should see some type of support come in and try to lift this market. From experience I would say that it looks like the market is trying to form some type of basing pattern, which is always a very noisy and difficult thing to trade through. However, if you are a longer-term inclined you may be able to buy this market and simply hang on through all of the choppiness. However, for the shorter-term trader it’s probably more of a range bound market with a slightly upward tilt over the longer term that you should be looking at.
This article was originally posted on FX Empire
