GBP to USD Weekly Forecast – British Pound Continues to Drive Higher Against US Dollar

GBP to USD Forecast Video for 28.11.22

British Pound vs US Dollar Weekly Technical Analysis

The British pound has had a positive week after initially dropping a bit against the greenback. As a result, the market has broken above the 1.20 level, which of course is an area that a lot of people pay close attention to. It’s probably worth noting that there is an entire region of resistance built into the market to the 1.22 level, so now we have to begin to ask questions as to whether or not the market has the momentum to keep up this type of massive bear market rally. If we can break above the 50-Week EMA, which is just above that 1.22 level, then it will be a very impressive move and could send this market much higher.

That being said, looking around the Forex world, you can see that a lot of these moves against the US dollar are starting to run out of momentum. So, at this point I have asked the question, “Is the US dollar done pulling back?” I think the next week or 2 is going to be very crucial for the Forex markets in general, because it could set us up for how the beginning of next year plays out.

I’ll be paying close attention to the 1.22 level, and whether or not we can stay above there on a daily close. On a weekly close, that would obviously be even more bullish, but at this point it looks like we are going to struggle. I think the next week could be very noisy, especially considering that the jobs number comes out of America on Friday. In other words, brace for volatility.

For a look at all of today’s economic events, check out our economic calendar.