GBP/USD Price Forecast – British Pound Continues To Test Resistance

The British pound has gone back and forth during the trading session on Friday, showing signs of stubborn resiliency as the markets is just below the 1.30 level. The market continues to favor the British pound overall, and after the jobs figure it looks as if the US dollar is relatively quiet. Overall, this is a market that looks as if it is trying to build up enough pressure to break out but having said that we need some type of catalyst. Currently right now it looks as if the Brexit situation is at least getting a bit better. That of course is the big driver of where the British pound goes, at least recently. If we can break above the 1.30 level, then it would be a very bullish sign and could be taken advantage of. That being the case, I like the idea of buying above there.

GBP/USD Video 04.11.19

To the downside, the market seems to have a lot of support at the 1.28 level and will certainly show support at the 200 day EMA which is at roughly 1.27. Because of this, the market looks likely to offer value on dips, which can be taken advantage of, but I would be cautious about my position size as pullbacks could be sudden. All things being equal though it looks as if we have changed the trend, and that is something that should be paid attention to as well. With that, the market is likely to continue higher over the longer term but there is no need to jump “all in.”

Please let us know what you think in the comments below