FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
21,301,967Confirmed
761,683Deaths
14,105,569Recovered
Fetching Location Data…
Advertisement
Advertisement
Christopher Lewis
GBP/USD

The British pound has rallied significantly, reaching towards the 1.24 level during the early hours on Monday session, but then pulled back just a bit. Ultimately, the 1.25 level above should also be massive resistance, so I am looking to short the British pound given enough time. However, I do not have the technical set up quite yet and therefore it will be interesting to see whether or not we get some type of exhaustion that we can jump on. After all, the British pound is going to have to deal with the Brexit situation, which of course is not going to be easy.

GBP/USD Video 02.06.20

Ultimately, the 50 day EMA could determine a lot of things so if we were to break down below the 50 day EMA again, then I might be willing to throw on short position. Otherwise, some type of exhaustion near the 1.25 handle, then I would be willing to sell in that area as well. Above there, we have the 200 day EMA that is coming towards that area, so I do believe that it is only a matter of time before the selling comes back into play. At this juncture, if we were to break above there then it is likely that the market could snap towards the 1.30 level in a massive move of momentum. Ultimately, this is a market that is setting up for a nice trade, but it is not quite there yet, but I certainly have this pair on my radar.

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

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

Latest Articles

See All

Expand Your Knowledge

See All

Trade With A Regulated Broker

  • Your capital is at risk