For Traders

Analytical Reviews

Technical analysis

09.07.201808:28 Forex Analysis & Reviews: Pound attacks technical resistance

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

GBP / USD

Brexit Minister David Davis resigned. The market considered this news as positive for the national currency since Davis is a supporter of the "hard" Brexit. Growth was facilitated by the dollar weakening on Friday after the release of US employment data. But the Friday reaction of the market was paradoxical, as the indicators came out good in general. For this reason, we take caution with the upward movements of the pound. However, any movements of the British currency this week should be taken of with caution, as Theresa May presents the latest proposals for Brexit. On Tuesday, the trade balance and industrial production will be published on Wednesday and on Thursday Mark Carney will have his stand.

Technically, the price could overcome the resistance of the balance line (red) and can now work out the resistance of the trend line with the target of 1.3360. In case of overcoming this resistance, the growth to the 1.3485 level is possible - at this level the lines of the blue line and the balance of the weekly scale coincide.

In the 4-hour chart, the price has no barriers for growth.

* The presented market analysis is informative and does not constitute a guide to the transaction.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.