GBP/USD Daily Price Forecast – Ichimoku Clouds Hover Over The Pair Alluding The Bears

In the middle of the Global pressures and Brexit chaos, the cable tried to keep the graph up during the first week of April. The GBP/USD was 0.17 percent up at the end of last week.

The Cable started the week on Monday morning on some fresh upliftment reaching the resistance level of 1.3072. The GBP/USD pair rose earlier today on the back of the USD Index sag. The dollar had plunged on the rising Libyan geopolitical woes. This slip in dollars elevated the gold and safe-haven yen to new highs for the day. Gold touched a one-week high of 1302.05 level in the Asian session.

The greenback was rebounding from its earlier day losses at around 07:50 GMT. US President Donald Trump’s threats on the US-Mexican border further keeps the USD Index stay alerted.

Brexit Deadline Week

The Brexit deadline of April 12 is approaching, and the UK is running short of time to wrap a deal before that. Last week’s Parliamentary drama which passed a no-deal Blocking motion ensures that the UK won’t leave until an agreement set in place. There is a higher possibility of a lengthier extension to happen in the else case.

The current scenario is that May has applied for further delay in Brexit till June 30, but low improvements have noted from the EU front. Some of the EU Officials are pretty dubious over a new extension in the exit deadline.

Upcoming Influential GBP/USD Events:

There is no as such GBP directly impacting events lined for the day, but there is one US event needs to have a closer watch.

By 14:00 GMT, the US Census Bureau will release the US February MoM Factory Orders. This index computes the total orders of durable and non-durable goods in the manufacturing sector. The consensus is quite highly bearish on the order numbers for February. The Street Analysts expect a 0.7 percent drop this time as compared to the previous 0.1 percent.

Technical Analysis

The Cable had a slight uptrend earlier the day touching and later bouncing off the resistance level of 1.3073 level. The pair, however, seemed to remain in the same vicinity near 1.3061 level.  At 08:30 GMT, the pair traded above the 55-day Simple Moving Average (SMA), 100-day SMA, and 200-day SMA setting a bearish stance for its future movements. The pair was penetrating inside the Ichimoku clouds during the same period with the baseline above and conversion line below it. Ichimoku clouds are acting here as resistance and are signaling of a bearish trend for the cable