Pound Sterling Price News and Forecast: GBP/USD waiting for a clearer Brexit picture
|GBP/USD Price Analysis: Stays above 50-day EMA while attacking 1.2950
GBP/USD picks up the bids near 1.2950/55 during Wednesday’s Asia session. In doing so, the quote remains positive for the fourth day in a row while keeping Monday’s upside break of the 50-day EMA. With the bullish MACD favoring the EMA breakout, GBP/USD buyers can aim for the falling resistance line from September 01, at 1.2995 now.
However, the pair’s upside past-1.2995 will challenge the monthly peak surrounding 1.3085 only if there prevails a sustained break of the 1.3000 threshold. Meanwhile, a one-month-long support line near 1.2890 offers an extra back-up to the GBP/USD bulls even if they fail to bounce off the 50-day EMA level of 1.2935.
GBP/USD Forecast: Waiting for a clearer Brexit picture
The GBP/USD pair ended the day as it started it, trading around 1.2940, as frozen Brexit talks overshadowed the broad dollar’s weakness. Downing Street has put trade talks with the EU on pause, waiting for Brussels to make concessions. The European Commission has officially stated its willingness to intensify trade talks with the UK, but at the time being, talks are being held by phone. Meanwhile, UK PM Johnson said tougher restrictions would be imposed on the Greater Manchester region in northern England starting on Friday after the country reported 21,331 new coronavirus cases.
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