Fear of Brexit has weakened the GBPUSD tanking the pair below 2010 lows and getting close to 2009 historical lows. As I have shown in the previous GBPUSD coverage the pair successfully broke through 1.4050 dropping and hitting our projected target. All this turmoil had a positive effect for EURGBP cross as we could have witnessed a strong bounce upwards.
The pair has reached 0.7927 that is EMA89 on Monthly chart. This is strong resistance and by dropping to H4 time frame, we can see a bearish divergence formed slighlty above H5 camarilla pivot point. The price is currently 0.7907 and it might be due for a correction. If divergence is successful the pair should drop towards 0.7830 and 0.7780-0.7800 that is a POC for possibly another long trade (H3,EMA89,61.8,inner trend line). A rejection off POC targets 0.7830 and 0.7900 respectively,
So at this point we should be focused on a possible correction and rejection from current levels.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
Recommended Content
Editors’ Picks
EUR/USD trades weak below 1.0800 amid Good Friday lull, ahead of US PCE
EUR/USD remains depressed below 1.0800 after soft French inflation data, amid minimal volatility and thin liquidity on Good Friday. The pair keenly awaits the US PCE inflation data and Fed Chair Powell's speech for fresh hints on next week's price action.
GBP/USD holds steady above 1.2600 as markets stay calm on Good Friday
GBP/USD trades sideways above 1.2600 amid a typical Good Friday trading lull. A broadly firmer US Dollar could keep any upside attempts limited in the pair ahead of the US PCE inflation data and Fed Chair Powell's appearance.
Gold price sits at all-time highs above $2,230, US PCE eyed
Gold price hit all-time highs at $2,236 on Thursday to finish Q1 2024 with a bang. Most major world markets, including the US are closed due to Holy Friday, leaving volatility around Gold price highly subdued. US PCE inflation and Powell are awaited.
Jito price could hit $6 as JTO coils up inside this bullish pattern
Jito (JTO) price has been on an uptrend since forming a local bottom in early January. Since then, JTO has revisited the key swing point formed in early December, suggesting the bulls’ intention to move higher.
Key events in developed markets next week
Next week, the main focus will be inflation and the labour market in the Eurozone. We expect services inflation to be impacted by the easter effect, while the unemployment rate to be unchanged.