GBP to USD Forecast – British Pound Continues Consolidation after BOE

GBP to USD Forecast Video for 03.02.23

British Pound vs US Dollar Technical Analysis

The British pound has gone back and forth during trading on Thursday, as we continue to consolidate, despite the fact that the Bank of England held interest rates steady. This probably wasn’t much of a surprise, so at this point in time I think the market is just simply going to hang around this area. Because of this, I think it’s going to be more or less a back-and-forth type of situation, while we try to figure out where we’re going next.

Keep in mind that the Non-Farm Payroll numbers come out on Friday, then of course is going to have its own influence on the market. With that in mind, I think we’ve got a situation where there is going to be a lot of hesitation to get overly exposed to anything at any one point in time. Because of this, I would anticipate a lot of back-and-forth chop, but if we give up the 1.2250 level, we probably drop down to the moving averages. On the other hand, if we can finally break above the 1.25 level, it’s very likely that this market truly takes off and we see a big move. I’m not necessarily sure which way were going to go yet, because to be honest, were somewhat in the midst of a potential double time, which obviously would catch the markets attention.

Expect a lot of volatility on Friday, but at the end of the day I think it ends up being more chop than anything else. That’s been the way the markets have behaved for a while, so why would this week be any different?

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