GBP/USD Price Forecast – British Pound Pulls Back

The British pound has initially tried to rally during the trading session on Thursday but gave back the gains at the 1.2750 level. This is an area that if we can break above on a daily close, we will end up going higher, perhaps even as high as the 1.30 level. To the downside, I see the 1.2650 level as offering massive support, and therefore I would be interested in any type of bounce from that area. Below there, the 200 day EMA is going to offer support, which is painted in black. Underneath there, we have the 50 day EMA painted red, and I think both of those could be potential buying opportunities.

GBP/USD Video 24.07.20

We have formed several “higher lows” over the last several months, so this is still technically in an uptrend, but we need to break out to the upside in order to continue the move and the attitude. I do think it happens, as the Federal Reserve is going to kill the US dollar if it is the last thing they do. That being said, we have a little bit of the dips I think that there will be a certain amount of value offered in this market so at this point in time I like the idea of finding “cheap Pounds” as they occur. I also recognize that we will probably break above the 1.30 level eventually, but I think this certain level might attract a lot of attention due to the psychological component of that large, round, big figure.

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