GBP/USD Price Forecast – British pound pulls back

The British pound has pulled back during the trading session on Thursday but is approaching a significant area of support that seems to bring in a lot of attention. Ultimately, this is an area of value that will attract a lot of attention. Building up a larger position is probably the way to go going forward as the market has been very choppy and very volatile, but there is obvious bidding on these dips. We still continue to make “higher highs”, and that should tell you most of what you need to know. However, you will have to be able to enter your positions with confidence, and in this type of environment position sizing is absolutely crucial.

GBP/USD Video 08.03.19

I believe that the 1.30 level will continue to be supportive, as we have seen a lot of clustering in that area, so I think that large money flows will continue to be attracted to this area. With today being the jobs figure in the United States we may get some volatility, but ultimately the British pound has broken a major downtrend line and has rallied since then so it’s obvious that the attitude has changed. The volatility of the jobs number may give us an opportunity to pick up the British pound “on the cheap”, but it also can turn things around and send it much higher. That being the case, it’s yet another reason to be cautious about position size and simply add once it works out in your favor. This is a longer-term move just waiting to happen.

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