GBP/USD Price Forecast – British Pound Continues to Look Threatened by Greenback Strength

British Pound vs US Dollar Technical Analysis

The British pound has initially tried to rally during trading on Thursday but gave back gains to show signs of weakness. Ultimately, this is a market that I think given enough time will probably break down even further, but it is probably worth noting that I had a target of 1.1250, and that’s essentially where we are.

Short-term rallies should be selling opportunities, and I do think that the United States dollar continues to act like a wrecking ball against almost everything else. Because of this, I have zero interest in trying to buy this pair, because I know that the downward momentum is for good reason, especially as the Bank of England has already admitted defeat as far as a recession is concerned.

Speaking of England, they are having to subsidize businesses to keep the lights on, which is not exactly a sign of strength. Because of this, the market will more than likely continue to favor the greenback, at least in the foreseeable future. Someday, this is going to be a great opportunity to pick up “cheap British pounds”, but we are nowhere near there right now. As things stand currently, you need to look for value every time this market rallies, so you can pick up those US dollars. This is one of the most one-way lopsided type of currency markets I have ever seen, and at this point it does not look like it is going to change anytime soon. I believe that the 1.15 level above should act as a significant resistance barrier as well.

GBP/USD Price Forecast Video for 23.09.22

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