The British Pound Continues to Threaten Major Support Level During the Week

British Pound vs US Dollar Weekly Technical Analysis

The British pound initially tried to rally during the course of the week but then turned around to give back gains. By doing so, the market looks as if it is going to threaten a major breakdown, and slicing through the 1.30 level would of course be a very negative turn of events. That being said, if we were to clear the 1.30 handle, the market could go looking to reach the 1.28 level. If we were to do that, it could unleash a new wave of selling in a market that already looks threatened.

Looking at this chart, if we were to break the 1.28 level, it is likely that we could go looking to reach the 1.25 handle. On the other hand, if we were to turn around a break above the 1.3250 level, then the market could turn everything around, but at this point, it does not look very likely to happen. Keep in mind that the US dollar continues to pick up quite a bit of momentum due to the fear spreading around the world.

The interest rates in the United States continue to strengthen, and as a result, people are looking at the greenback as a way to protect their wealth at the moment, and therefore it is worth noting that the inflows continue to favor this pair attempting to make a major breakdown. That does not mean that it will be easy, and it certainly does not mean that it will be a clean move. However, it certainly looks as if the momentum is trying to carry it in that direction.

GBP/USD Price Forecast Video 11.04.22

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