Technical analytics

GBPUSD market technical outlook

GBPUSD

Daily chart:

Rampant growth of pound continues without any signs of buyers’ weakness. It looks like movement just gaining speed.

Only Non-Farm Payrolls data, which is due every first Friday of the month, is capable to exacerbate the situation for bulls. In case of favorable data for american dollar, the major perhaps will slip towards “yellow zone” 1.30.

H1-chart:

The scale of upward movement is very big. As a rule, markets are unable to keep such protracted momentums for a long time, that speaks for scenario of downward correction.

A pullback might be very short (to the 1.3100 region, watch the blue trajectory), but it can be deep also (to 1.3010, black arrow).

Today anything might happen. It’s such a day. 

Conclusions:

Main scenario: Decline to 1.3100 and then growth to 1.3250.

Alternative scenario: Strong downward correction to 1.3010.

Trading recommendations:

  1. Shorts to 1.3100 and 1.3010.

  2. Seeking for buy signals at 1.3100 and 1.3010.

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