GBPUSD Fall Back to Previous Resistance Zone
GBPUSD Fall Back to Previous Resistance Zone
Technical Analysis:
GBPUSD has had a turbulent fortnight. Rallying up almost 4% in 2-3 days and pushing up to the Daily resistance zone at 1.27850. Now GBPUSD has stagnated its bullish strength and is now consolidating at the resistance level that it has struggled to break. I now believe that bears are coming back into the market, and will push price down towards the lower resistance zone before any buying sentiment returns.
Fundamental Anlaysis:
The Pound has had some confidence brought into it with the hopes of a Brexit deal being "Possible" between the UK PM and his Irish counterpart. Along with the Queens speech, that detailed some of the Brexit plans in place, these fundamentals helped restore confidence in the pound and alleviate some of the fears of a GBP Plummet. Now attention turns to Brussels, who also have stressed that work is undergoing to come to a deal. This may cause some Bullish movements in the pound, however I believe that as we near the 31st of October, the Brexit news will bring the pound down.
Technical Analysis:
GBPUSD has had a turbulent fortnight. Rallying up almost 4% in 2-3 days and pushing up to the Daily resistance zone at 1.27850. Now GBPUSD has stagnated its bullish strength and is now consolidating at the resistance level that it has struggled to break. I now believe that bears are coming back into the market, and will push price down towards the lower resistance zone before any buying sentiment returns.
Fundamental Anlaysis:
The Pound has had some confidence brought into it with the hopes of a Brexit deal being "Possible" between the UK PM and his Irish counterpart. Along with the Queens speech, that detailed some of the Brexit plans in place, these fundamentals helped restore confidence in the pound and alleviate some of the fears of a GBP Plummet. Now attention turns to Brussels, who also have stressed that work is undergoing to come to a deal. This may cause some Bullish movements in the pound, however I believe that as we near the 31st of October, the Brexit news will bring the pound down.