Pound Sterling Price News and Forecast: GBP/USD further gains linked to persistent dollar’s weakness
|GBP/USD Price Analysis: Prints rising wedge on 4-hour chart above 1.2600
GBP/USD drops to 1.2630 amid the early Monday morning in Asia. Even so, the Cable remains positive on a daily basis with around 0.10% gains. Though, a bearish chart pattern, the rising wedge, joins bearish MACD signals, question the bulls.
As a result, 1.2600 becomes the key for decision making as a downside break of the same will confirm the bearish formation. Also increasing the strength of the support is 23.6% Fibonacci retracement of June month declines from 1.2813 to 1.2251.
Even if the pair’s break of 1.2600 opens the door for its southward trajectory towards July 03 low near 1.2440, 200-bar SMA level of 1.2510 could offer intermediate halts during the quote’s declines.
GBP/USD Forecast: Further gains linked to persistent dollar’s weakness
The GBP/USD pair hit 1.2663 on Friday, unable to surpass its weekly high and retreating to settle at 1.2621. The rally was the result of the broad dollar’s weakness, as news coming from the UK lend no support to the Pound. Market players ignored headlines indicating no progress in Brexit talks throughout the week, with remaining “significant differences” on a number of important issues.
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.