British pound hotspots
GBP / USD struggles with the prolongation of a series of lower ups and downs earlier this week as it rises back from a monthly low (1,3791), but a negative rise in the 50-day SMA (1.3884) puts a harsh exchange rate outlook on failed attempts to slide above the moving average.
Technical forecast British pound: Cart
Remember GBP /USD continues to follow a wide range from the first half of 2021, as it returned to its lowest level in February last month (1.3566) and a failed attempt to close below 1.3620 (78.6% retracement) could reverse the exchange rate. as it tries to follow the decline earlier this month.
Source: Trading View
However, GBP / USD is below the 200-day SMA for the second time this year (1.3769), as the return from the lowest level in July (1.3572) is branching out and another break below the moving average may indicate a possible shift in the broader trend if a double formation is formed. In 2021.
Nevertheless, the momentum needed to push the 50-day SMA (1.3884) higher undermines the recent GBP / USD recovery as the indicator develops negatively, but the exchange rate may continue to follow a wide range from the first half of the year, appearing to be the lowest in February (1.3566). turned course before.
– Written by David Song, currency strategist
Follow me on Twitter at @DavidJSong