XtreamForex

Daily GBP/USD Forecast February 24, 2017

GBP/USD Daily Fundamental & Technical Forecast

Fundamental Analysis

GBPUSD made some very strong progress over the last 24 hours due to the weakness in the dollar that has been seen all across the board since yesterday morning. The pound did have a dip for a brief while during the Asian session yesterday but the bulls have since gone on a buying spree and have been buying the pair like there is no tomorrow and it is up more than 100 pips since that time and trades above 1.2550 as of this writing.

Is The Pair Ranging or Breaking Out?

There has been no specific fundamental event from the UK that has sought to change this consolidation mode into one of strong bullishness but this move up has been attributed more to the weakness of the dollar rather than the strength of the pound. It could also be that we are approaching the end of the month and usually the pound benefits from the end of month flows. We still believe that this is just a move within the larger range with the highs of the range coming in at 1.27.

we do not have any major news from the UK or the US and so we can expect the pair to continue to trade bullish for today as well.

Technical Analysis Forecast

The GBP/USD pair broke higher during the day on Thursday, and it looks as if the British pound is going to continue to find strength over all. I have been talking about a potential trend reversal, and I think we’re going to get that, especially after a pull back from the Article 50 triggering. The 1.24 level below continues offer support, so I’m buying short-term pullbacks for short-term gains. Eventually, we could reach towards the 1.30 level, and a break above there could send this market much higher. I have no interest in selling.