The GBPUSD had another indecisive movement yesterday. The bias remains neutral in nearest term. The bullish pin bar appeared on H4 chart on June 9th remains valid but need a clear break above 1.2780 to confirm the bullish scenario targeting 1.2900 – 1.3000/50 region. Immediate support is seen around 1.2725. A clear break below that area could trigger further bearish pressure but only a clear break below 1.2635 would nullify the bullish pin bar scenario targeting 1.2500 region.
The British pound recorded a volatile session against the US dollar on Thursday. The currency pair opened at 1.2750 and added only 4 pips. Daily extreme values were reached at 1.2690 and 1.2794 respectively. The outlook remains neutral, with the 1.2700 and 1.3090 levels retaining a key role in the short term.
Pound / dollar had another unsettling movement yesterday. Trade signals remain neutral in the near future. The upcoming pin bar, which appeared on June 9, remains valid, but a clear break above 1.2780 is needed to confirm the bullish scenario with targets to 1.2900 - 1.3000 / 50. Immediate support is seen at 1.2725, whose breakthrough can lead to future downward pressure. But only a clear break below 1.2634 will cancel the upside-down scenario on the pin bar, with the first downside target in the 1.2500 area.
The British pound was up against the US dollar on Friday. By the close of US trading, GBP/USD was trading at 1.2782, adding 0.20%. I believe that support is now at around 1.2636, Monday's low, and resistance is likely at 1.2818, the maximum of Wednesday.
Not only did GBP/USD reach 1.2960, but it broke out below that support and continued moving to the downside, reaching 1.2641. A breakout below that level and below 1.2634 could indicate a further move to the downside towards 1.2500.
HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors.
Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance.
You could lose some or all of your initial investment. Do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading, and seek advice from an independent financial or tax advisor if you have any questions.
Any data and information is provided 'as is' solely for informational purposes, and is not intended for trading purposes or advice.
Past performance is not indicative of future results.