GBP/USD Price Analysis: Weekly M-formation playing out
|- GBP/USD bulls stay on course for a key weekly resistance target.
- The M-formation is playing out with price correcting the weekly bearish impulse.
Hawkish comments from Fed Chair Jerome Powell yesterday have injected another wave of re-pricing into US rates markets. However, the pound has continued higher in a technical move towards a weekly resistance level as per the following chart:
GBP/USD weekly chart
The M-formation is a compelling pattern that is playing out with the price reverting towards the neckline of the pattern near 1.3350. This comes in towards a 61.8% golden ratio and 1.34 the figure. Should the area hold, the price would be expected to continue on its southerly trajectory with 1.28 the figure in focus.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.