Forecast of the GBP / USD currency pair 08/07/20

Today we will take a look at the GBP / USD currency pair. After a strong but false breakout of support from1.2530–1.2535, the pair returned above the marked level, increasing the likelihood of further growth. The first target is 1.2580 followed by 1.2675 / 80.

The bullish scenario will only be realized if the USD weakens significantly.

Trading Outlook:

The main scenario takes into account further growth beyond the technically strong level of 1.2530. Looking at the longer time frame, it is clearly visible that the marked level served as resistance for a long time , and now it is a  support level.

The alternative scenario takes into account the next return to the lows of today, thereby indicating a lack of buyers and, as a result, the cancellation of the bullish scenario.

I would like to draw your attention to the lack of economic news from the USA and Britain and only the appearance of information on negotiations on Brexit and / or from the Fed representatives on the regulator’s readiness to introduce changes in monetary policy such as further tightening, can have a strong impact on this pair.

The above review is not a direct guide to action, but carries an exclusively recommendatory nature.