Corona Virus
Stay Safe, FollowGuidance
Fetching Location Data…
Christopher Lewis

The British pound has rallied quite significantly during the trading session initially on Tuesday and broke above the highs from the Friday candlestick of last week, and the previous session on Monday. This is a bullish sign in a market that has been struggling to find its way as of late. That being said, one thing that should be paid attention to is the fact that we are coming close to the 200 day EMA, an area that does seem to attract a certain amount of trading.

Know where GBP/USD is headed? Take advantage now with 

75% of retail CFD investors lose money

Because of this, I would not get overly aggressive, and I do recognize that the market is likely to see a lot of choppiness in this area. I frankly, the area between the 50 day and 200 day EMA tends to be a bit of a “dead zone” where the market tries to figure itself out. Because of this, a lot of times we will simply slosh around back and forth.

GBP/USD Video 08.07.20

If we break above the 200 day EMA, then I think it is likely that we go looking towards 1.2750 level, an area that has been important more than once. Because of this, I would then start to look for some type of momentum to pick up after a move above the 200 day EMA. If we break down below the 50 day EMA underneath, then I think we go looking towards 1.23 level next. Either way, I think we are going to see a lot of noisy trading as the world deals with Covid, Brexit, and whatever the world is going to look like post pandemic.

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

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker

  • Your capital is at risk
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.