Economic data out of the UK released in the last couple of days has been pound-positive, yet the GBPUSD is still holding below the 1.30 handle. But for how long? Given that the positively-correlating EURUSD pair has already broken well above its own corresponding psychological hurdle at 1.10 after a sharp rally, the cable could be playing catch up.
The British pound continues to march higher during the Monday session, and as you can see I have a trendline on the hourly chart showing that we have seen buying pressure again and again.
After a 300-pip rally on Tuesday, the GBPUSD is unsurprisingly taking a breather today. Tuesday’s upsurge came on the back of news Theresa May called for a snap general election.
GBPUSD broke out below the lower line of the triangle pattern on 4-hour chart,
Financial markets opened in a bit of a panic mode overnight in the wake of Trump’s failure to repeal Obamacare. Stock index futures slumped while the dollar index fell to its lowest since mid-November as the yen and euro both gapped higher. The dollar’s losses steepened after the London open as the GBP/USD climbed to near 1.26 handle and EUR/USD neared 1.0900. European stock indices bounced off their lows slightly.
GBPUSD continued its upward movement from 1.2109 and the rise extended to as high as 1.2494.
GBPUSD stays in the upward price channel on 4-hour chart, and remains in uptrend from 1.1986.
The GBPUSD pair rallied on Monday, as the US dollar softened a bit overall.The 1.27 level above could be resistive yet again, but I think the real massive “ceiling” in this market is closer to the 1.2850 level above.
Forget the Bank of England meeting today, it is all about politics as far as the pound is concerned.
GBPUSD stayed in the trading range between 1.1946 and 1.2477 for several days.
