Forex Trading: GBPUSD Technical Analysis – Febuary 07, 2020
Even though GBPUSD passed from the terrible decline from the last two days, Great Britain Pound (GBP) did rise against the U.S. today. , but this increase is not eclipsed by two days back bad downturn, yet luckily it cues toward the optimistic movement and thus today labels itself at more than 1,3000. The price rise is followed by encouraging news from the UK. Due to lower low movement, in the last downside move, the technical bias is assumed to be bearish for a while.
GBP/USD: Technical Analysis
Currently, the GBPUSD has expressed at a level of 1.2932. At 1.2728, the price is supported by major horizontal support, as shown in the below graph, that definitely pushes the price above this stated position, ahead of the psychological number at 1.2700, and then at 1.2549, there is the support of the trendline.
On the opposite side, the price movement may be influenced by the levels of resistance lies above the price as it may not permit the price to go up. At first, the price may be affected by the trendline that is just passing above the price at 1.2963, soon after it, there is the 38.2% Fib level at 1.3008, and then at 1.3199, the price may meet the major horizontal resistance.
GBP Markit Services PMI
The PMI service published by both the Chartered Purchasing & Supply Institute and the Markit Economics, today place at 53.9, which is far better than the last month index and projection of the economist that was 52.9. This provides a summary of the revenue and work conditions. Traders want the highest reading possible, as this will be taken as good for the GBP. Any reading above 50 indicates expansion.
For now, perhaps for over two weeks, the GBPUSD has been at the same point, with this recent movement only the short-term traders can find themselves productive in such a situation.