GBP/USD Forecast: Pound Sterling stabilizes after BoE-inspired rally
GBP/USD stays in a consolidation phase near 1.3450 after rising more than 0.6% on Thursday. The pair’s near-term technical outlook suggests that there could be a downward correction before the next leg higher.
Pound Sterling gathered strength against its rivals on Thursday after the Bank of England announced that it decided to lower the policy rate by 25 basis points (bps) by a slim 5-4 majority following a second round of voting. Markets were expecting only two members of the Monetary Policy Committee (MPC) to vote for a policy hold. Read more…
GBP/USD Elliott Wave forecast: Buying the dips in the blue box
In this technical article, we are going to talk about another Elliott Wave trading setup we got in GBPUSD. The pair has completed its correction exactly at the Equal Legs zone, also known as the Blue Box Area. In this article, we’ll break down the Elliott Wave forecast, explain the trading setup in detail, and provide the upside target.
The price action suggests that GBPUSD is forming a pullback in the form of a double three (WXY) structure. While price remains below the red X connector, we believe the correction is still in progress and expect another leg lower toward the 1.3156 area , where we are looking to re-enter as buyers. We recommend that members avoid selling GBPUSD, as the main trend remains bullish. We anticipate at least a three-wave bounce from the Blue Box area.Once the price reaches the 50% Fibonacci retracement against the red X connector, we will make the position risk-free by moving the stop loss to breakeven and booking partial profits. Read more…
