Home / Forex & Currency Exchange News / GBP/USD Spiked after May Confirmed her Brexit Plan

GBP/USD Spiked after May Confirmed her Brexit Plan

By Admiral Markets

The GBP/USD behaved as planned just before the May’s press conference had started. Just before the conference it followed our Session Recap analysis and dropped for 65 pips originally. However the weakness in the GBP hasn’t been sustained due to “sell the rumour, buy the fact” scenario. The vote on Brexit plans will be taken in both houses of parliament and there might be elections meanwhile.

Technically the GBP is still bearish. Levels and zones to watch for are pretty much shown on the chart. 1.2345 H4 resistance stands as interim resistance and we might see some short term rejections in the market close to that level. The POC zone 1.2380-2400 (78.6, Bearish order block) could reject the price as the ATR has already been overshot by huge extent. Traders need to pay attention on 4h close below 1.2250 for further bearish continuation towards 1.2185 and 1.2100. Another cue is also to look for MACD divergence at the top, that will be another confirmation for short trades, providing that bears want to see momentum fade. Due to recent developments in the GBP and UK, using profit stops is strongly advised should price reach the POC zone and reject from it.

Follow @TarantulaFX on twitter for latest market updates

Article by Admiral Markets

Source: GBP/USD Spiked after May Confirmed her Brexit Plan


Admiral Markets is a leading online provider, offering trading with Forex and CFDs on stocks, indices, precious metals and energy.

Click Here For Original Source Of The Article

About Louie Lewis

Louie Lewis
Successful forex trading starts with you first. Then comes the actual strategies and techniques. I have been involved with forex and forex trading for a few years now. It is a wonderful way to build wealth. The learning never stops and I want to help others along their journey into this wonderful market of opportunity.

Check Also

Rumors make Oil go up

Rumors make Oil go up

Author: Dmitriy Gurkovskiy, Chief Analyst at RoboForex The oil market has another reason to recover. At the beginning of last week, they were selling oil because there were rumors that Russia had no interest to extend the OPEC+ agreement, but at the end of it the price movement direction changed to the opposite. Saudi Arabia […]

Leave a Reply

Your email address will not be published. Required fields are marked *

css.php