GBP/USD Price Forecast – British Pound Slams Into Resistance Barrier

The British pound has spiked again during the trading session on Tuesday, as it looks like we are going to try to take out the 1.35 handle. This is an area that takes a lot of attention from the market, and therefore could push even higher if we can break above it. If we do, that could be a huge “blow off top” type of situation. That being said, with the jobs number coming out during the trading session on Friday I believe that there is probably a short-term pullback just waiting to happen. If we can pull back, I think that the 1.33 level would be an interesting area to start looking for support that you can buy.

GBP/USD Video 02.09.20

I have no interest in trying to get cute and short this market, because quite frankly it is an obvious uptrend and therefore should not be thought. Ultimately, I do think that we go looking towards the 1.40 level above, perhaps even higher than that as long as the Federal Reserve continues to liquefy the markets. Given enough time, we will continue to see a lot volatility, but more of an uptrend than anything else. With the jobs number coming out on Friday, I think that a short-term pullback will probably set up for a bigger move later in the week. That being said, do not be surprised if we do get the pullback, just recognize that it is probably going to be more profit-taking than anything else at this point in time.

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