GBP/USD Price Forecast – British Pound Testing Major FigureThe British pound has fallen to kick off the week, reaching down towards the 1.30 level. It seems as if it is holding which is crucial to maintain the momentum.
The British pound fell a bit during the trading session on Monday to kick off the week, reaching down towards the 1.30 level where buyer step in and pick that up a bit. At this point, it is still an open-ended question as to whether or not we can hold the 1.30 level, but obviously we are still in an uptrend regardless of what happens next. With that in mind I like the idea of buying dips but lied, I wish this dip with a little bit deeper because it gives you more room to run.
GBP/USD Video 04.08.20
Nonetheless, the market is looking very likely to find buyers sooner rather than later, and if we can take out the shooting star from the Friday session that would be a very strong sign. I am not a seller, and if we break down below the 1.30 level then I will simply look to pick up the British pound closer to the 1.2650 level, perhaps even the 1.2750 level.
The British pound has been extraordinarily strong, and I think that will continue to be the case as the Federal Reserve continues to weaken the US dollar in general. With this, it is almost as if Brexit is never going to be an issue, but I digress. At this point it is obvious that the FX markets are not paying attention to Brexit, and solely paying attention to the Federal Reserve and its loose monetary policy going forward.
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