As long as the British Pound (GBP) remains below 1.2600, it could test the 1.2505 level; Last Friday’s low of 1.2475 is unlikely to be threatened. Longer term, the sharp decline appears to be overextended; any further decline could struggle to break below 1.2475, note UOB Group FX analysts Quek Ser Leang and Lee Sue Ann.
Last Friday’s low of 1.2475 is unlikely to be threatened
24 HOUR VIEW: “Yesterday we highlighted that “while the bullish momentum has not increased much, there is room for it to rise to 1.2625 before stabilizing.” We added, “the strong resistance at 1.2650 is unlikely to come into play.” However , the GBP rose less than expected to 1.2613 in early New York trading, before stabilizing to trade sideways for the rest of the session. The GBP closed at 1.2570 (+0.28%), but fell in early Asian trading today. Despite the drop, the bearish momentum has not increased much. That said, as long as the GBP remains below 1.2600 (. minor resistance is at 1.2575), could test support at 1.2505. Last Friday’s low of 1.2475 is unlikely to be threatened.”
1-3 WEEK VIEW: “Yesterday (November 25), when the GBP was at 1.2590, we highlighted that “last Friday’s sharp decline appears to be overextended.” We noted, “any further decline could struggle to break the GBP low.” last Friday of 1.2475, which is serving as a significant support level.” Our view remains the same. Overall, only a break of 1.2650 (no change in the “strong resistance” level) would mean that the GBP’s weakness from two weeks ago has stabilized.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
