GBP to USD Forecast – British Pound Plunges Again

GBP to USD Forecast Video for 20.02.23

British Pound vs US Dollar Technical Analysis

The British pound has fallen rather hard against the US dollar during trading on Friday, as we continue to see the market favor the greenback in a bid to safety. Recently, we had formed a massive “double top” above, and it does suggest that perhaps the 1.25 level is going to continue to be a major problem. With that being the case, if we were to break above the 1.25 level, it obviously would be a huge victory for the British pound. However, we are nowhere near there, and have seen a couple of massive negative candles of the last couple weeks to suggest that we have much further to go to the downside.

Underneath, the 1.1850 level should be support, and I think that if we break down below there we could see a huge breakdown in this market. That would kick off a huge “M pattern”, which measures for a move down to the 1.15 region. The 1.15 region is an area that a lot of people pay close attention to, due to the fact that it is a large, round, psychologically significant figure, and an area that previously had a lot of work attached to it. With that being the case, I think we’ve got a scenario where it is probably only a matter of time before we try to get there, and test to see whether or not buyers are willing to step in and take advantage of that region. If we break down below there, look out below.

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