Possible Reversal in GBP
The GBP has been strong for the past couple of weeks. Manufacturing was up last week, earnings were up, and unemployment was slowly shrinking. The vaccine rollout in the UK has gone relatively smoothly in comparison to other major economies, so there's a case for recovery and a strong GBP fundamentally.
However, the Pound basket has an existing resistance around 1.52-1.53. Price has given a test of this area, and has thus far been rejected. There's a fair amount of space to the downside here, so I won't be too quick to jump in. Will be looking for some sort of confirmation here. Lower highs and lows would be great, or a break down below the 50 period SMA.
Will look at potential pairings and update as an entry begins to form.
However, the Pound basket has an existing resistance around 1.52-1.53. Price has given a test of this area, and has thus far been rejected. There's a fair amount of space to the downside here, so I won't be too quick to jump in. Will be looking for some sort of confirmation here. Lower highs and lows would be great, or a break down below the 50 period SMA.
Will look at potential pairings and update as an entry begins to form.
Commentaire:
Haven't quite gotten the candle today I hoped to see. Will keep watching the GBP, but expecting nothing until overnight session or sometime tomorrow for an entry.
