We have begun the weak with a significant upward move on GBP/USD, opening the day at around at 1.2328 and closing over 100 pips higher around the 1.24700 to 1.24800 area. We have experienced significant pound strength on all its other major counterparts; closing the day higher on all pairs. I remain bullish on the pound, based on current price action and based on the information provided in my weekly overview (for the week of 14th-18th Nov) of the pound. I have given an analysis from both the bullish and bearish perspective below, and have included possible entries that I may consider throughout the trading week.

GBP/USD Weekly chart-H4 Bulls

Price has opened the week at wm2, which is also the 61.8 Fibonacci retracement from the upward move earlier on in the month. The Bullish targets are WR1 and WM4 to WR2

GBP/USD Weekly chart-H4 Bears

Price is entering into an area of Resistance, shown by the yellow. We may see price retrace downwards from the 50% fib level to the 38.2% fib, whereby bears may look to enter at WM3; indicated by the arrow on my chart. Alternatively, Bears may sell at WR1; which is the 61.8 bearish fib retracement from the downward move we experienced last week. The Bearish targets are WS1 and WM1

GBP/USD Weekly chart-H1 entries

Should price retrace to WPP and show indications of upward continuation, I will look for an entry at the 50% fib retracement level, as indicated by arrow 1 on my chart. Should price retrace further, I will look for an entry just below WPP, which is the 61.8 fib retracement level, shown as arrow 2 on my chart.

One thought on “GBP/USD Weakly forecast 21st-25th Nov, 2016”

  1. Ryan Gandalf van Jaarsveld says:

    Thanks buddy!!!

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