Tag: gbp/usd

GBPUSD – Weekly divergence points to downside correction

GBPUSD – Weekly divergence points to downside correction

Technical Analysis
It is without a doubt that the British Sterling has been one of the strongest performing currencies among the G7 since last year. Although the Kiwi Dollar has been gaining strength, the British pound has been consistent and steady over the year which makes it a prime currency pair to be long on. Since the start of the rally, traders who have been long have been aiming for the 1.7 level. So far, price has failed this level quite a few times, coming as close to 1.6995. While there have been dips during the course of the rally to 1.699 it cannot be justified to call these dips a correction. In this analysis, we present the GBPUSD correction to the downside along with a hedge trade in GBPJPY to offset any risks from the Cable's short term short trade. GBPUSD - Weekly Charts Analysis On th...