GBP/USD Price Forecast – Continues Choppiness Despite Positive News

The British pound went back and forth during the trading session on Monday, as we have seen positive news coming out of Pfizer that a vaccine should be coming relatively soon. With this being the case, it looks like there is more of a “risk on” type of attitude out there, but I would not get overly excited about the British pound quite yet, due to the fact that this is just the beginning of its problems trying to be sorted out. After all, we have the Brexit still and therefore it is likely that the British pound will struggle a bit from time to time.

GBP/USD Video 10.11.20

Looking at this chart, it is obvious that the market wants to go higher, but at this point one would have to think it is only a matter of time before Brexit comes and cause us some type of issue. Because of this, I think that we still have a lot of things to concern ourselves with and quite frankly if you are looking to sell the US dollar, you probably will be better off selling it against other currencies. At this point, the British pound probably continues to grind higher, but it is not necessarily going to be an easy trade. At this point in time, we will still be susceptible to headline risks and all kinds of noise involving Brexit.

Because of this, I think you are looking for dips to take advantage of going forward, just as we have seen for quite some time. With this, 1.30 should be crucial.

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