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The British Pound Continues to Threaten the 1.30 Level for the Week

By:
Christopher Lewis
Published: Apr 15, 2022, 15:29 UTC

The British pound has gone back and forth during the course of the trading week, as we sit above the 1.30 handle.

The British Pound Continues to Threaten the 1.30 Level for the Week

In this article:

British Pound vs US Dollar Weekly Technical Analysis

The British pound has gone back and forth during the course of the trading week against the US dollar, as we continue to see volatility show itself across the board. Because of this, the market is likely to try and make a bigger move. The 1.30 handle is an area that has been important multiple times in the past, so it is most certainly worth paying close attention to. Looking at this chart, if we can break down below the lows of the last couple of weeks, we very well could drop to reach down to the 1.28 handle. There is a lot of noise between the 1.30 handle and the 1.28 level. That is an area that will continue to be noisy and difficult to slice through.

On the upside, if we were to break above the 1.3250 level, then you can start to have an argument about the upside. In this general situation, the market is more likely than not going to be difficult for longer-term traders to get a grip on, at least until we make some type of major decision. In the near term, it is very likely that we continue to trade in a roughly 200-point range, and on short-term charts. Because of this, it is probably not the best market to look for a longer-term trade, but once we get a little bit of momentum, it is likely that the best trades will end up showing themselves here. The fact that we are closing in a little bit of an inverted hammer does suggest that we are going to make another attempt to the downside.

GBP/USD Price Forecast Video 18.04.22

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About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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