Pound facing stiff resistance, sideways persists
GDP data from UK came in at -19.8 percent against market expectations of -20.4 percent. The latest round of discussions began on Tuesday and reports indicate that negotiators will begin the process to finalize a deal as soon as possible. Prime Minister Boris johnson is considering slapping additional restrictions to curb COVID-19, especially in northern England. The rising number of cases and economic hardship are now joined by political issues.
Technically, 1.29 handle on the H4 timeframe ended the week battered and bruised, encountering a number of whipsaws. Technicians will also observe an ascending channel in play between 1.2806/1.2927. Friday, as you can see, retested the round number as support and held a few pips north of October’s opening value at 1.2925 into the close. Resistance can be seen around the key figure 1.30, closely shadowed by H4 resistance at 1.3009 and daily resistance at 1.3017.
Suggestion: SELL GBPUSD AT CMP 1.2905-10 SL ABV 1.2980 TGT 1.2820/2800 ELSE BUY ABOVE 1.2980 TGT 1.3020/3090 SL BELOW 1.2880
Technically, 1.29 handle on the H4 timeframe ended the week battered and bruised, encountering a number of whipsaws. Technicians will also observe an ascending channel in play between 1.2806/1.2927. Friday, as you can see, retested the round number as support and held a few pips north of October’s opening value at 1.2925 into the close. Resistance can be seen around the key figure 1.30, closely shadowed by H4 resistance at 1.3009 and daily resistance at 1.3017.
Suggestion: SELL GBPUSD AT CMP 1.2905-10 SL ABV 1.2980 TGT 1.2820/2800 ELSE BUY ABOVE 1.2980 TGT 1.3020/3090 SL BELOW 1.2880