Forex Marketz Daily Forex News – Fully Markets Update
Looking at the British pound (GBP), and the above daily GBP/USD price chart, there is a tough congestion zone, on the upside coming into play at 1.2680 to 1.27.
This includes the July high price point, the June swing high price point and the two hundred (200) day moving average.
Today, the Governor of the Bank of England, Andrew Bailey, will deliver speech. This will add to the price volatility of the British pound. Other than that, the economic calendar is very quiet today with no high impact events on the schedule. The United States is releasing their monthly budget. The Eurozone has no economic data on the calendar.
With that said, later in the week the
British pound will face more volatility when the European Central Bank (ECB)
will announces their monthly monetary policy and rate decision. The European
Central Bank is not expected to make any changes with their monetary policy
settings or overnight lending rates.
They will also, most likely, leave their quantitative easing (QE) program as is
and will not release updated economic forecasts. On Friday, the European Union
Commission is meeting in Brussels.
Daily British Pound Technical Analysis (GBP/USD)
Looking at price action, a bit more closely, the British pound seems to have some upside momentum left in the gas tank against the U.S. dollar (USD). The GBP/USD Forex market is trading above the fifty and one hundred (50,100) day moving averages. This Forex market has also completed a set of higher lows and lower highs and within a triangle.
With that said, a daily close above 1.27 opens the door to challenge the next upside barrier that lines up at 1.2750. The next upside barrier that lining up at 1.2815 would then come into focus. The first layer of technical support lines up at the swing low price point from mid-July at 1.2565.
The next downside barrier lines up at a sing high price point, from earlier in July, at 1.2530. The next downside barrier lines up at 1.2445. This is supported by the 100 day moving average with the support level at 1.2340 the coming into focus.
