GBP/USD Price Forecast – British pound finding buyers again
The British pound has initially pulled back during the trading session on Friday but has found the 1.30 level to be supportive yet again. By doing so, it looks as if we are going to continue to grind back and forth in this area, and the one thing that I would point out is that it seems like every time the British pound is ready to collapse, buyers come back in. With that in mind, buying on the dips continues to be the best way going forward.
GBP/USD Video 01.04.19
Having said that, there are a lot of headlines out there that will continue to throw this market around, so you need to be very cautious. The market looks very likely to see plenty of buying opportunities on short-term charts, after short-term pullbacks. At this point, the market looks as if it is extraordinarily resilient, so at this point it’s likely to be a market that you should be looking at to find value in, and at this point probably stay away from shorting.
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Even if we do drop from here, I think that the 1.28 level will be the next major support level that should keep this market afloat. If we were to break down below there, then things change completely. However, I think that we are more likely to see the British pound break above the 1.3350 level and reach towards 1.35 level after that. All things being equal, I do believe that this pair will go higher over the longer-term.
Please let us know what you think in the comments below