GBP/USD Price Forecast – British pound skyrockets after hawkish statement

The British pound has skyrocketed during trading on Thursday, breaking through the 1.32 level handily, coming back to that level and testing it for support, and then continued towards the 1.3250 level. The market of course will pay a lot of attention to this area, as it was previous support. Overall, I think if we can break above the 1.33 level, it would be a very big deal indeed, and could send the British pound much higher. As I record this video, we are starting to struggle a little bit as one would expect. If we were to turn over and roll back below the 1.32 handle, then I think that the market could go much lower.

If we do somehow make the breakout, then I believe that the market goes to the 1.34 level above, possibly even 1.3450 after that. I think that there are a lot of concerns with the British pound, not the least of which is the still somewhat uncertain look of the United Kingdom after leaving the European Union, as that noise continues. While this has been a very bullish turn of events for the British pound, we still have that specter looming large. I’d be a buyer above 1.33, but at this point I think that the knee-jerk reaction could get turned around. I would be very careful here.

GBP/USD Video 22.06.18