Cable’s long uptrend, lasting since the start of the year, has continued in June so far with the price reaching a new high on 5 June. Relative political stability in Britain can be contrasted with the USA’s chaotic implementation of new tariffs and friction in the governing Republican party over the tax and spending bill.
The uptrend is quite mature and the price currently overbought while, as for many other major pairs, volume and ATR have declined significantly and Bollinger Bands contracted since April. The obvious long-term target is the area of the 100% monthly Fibonacci retracement, 2021’s high, but even if the uptrend continues that far it’s likely to take a long time for the price to reach this area.
The 50 SMA from Bands is slightly below $1.34, so this seems like a possibly significant support in the short to medium term as both a static and dynamic area. The Fed and BoE will meet on consecutive days on 18 and 19 June, so volatility around then is likely to increase sharply and, depending on the bankers’ comments, it might become clearer whether to expect continuation or consolidation.
This is my personal opinion, not the opinion of Exness. This is not a recommendation to trade.
The uptrend is quite mature and the price currently overbought while, as for many other major pairs, volume and ATR have declined significantly and Bollinger Bands contracted since April. The obvious long-term target is the area of the 100% monthly Fibonacci retracement, 2021’s high, but even if the uptrend continues that far it’s likely to take a long time for the price to reach this area.
The 50 SMA from Bands is slightly below $1.34, so this seems like a possibly significant support in the short to medium term as both a static and dynamic area. The Fed and BoE will meet on consecutive days on 18 and 19 June, so volatility around then is likely to increase sharply and, depending on the bankers’ comments, it might become clearer whether to expect continuation or consolidation.
This is my personal opinion, not the opinion of Exness. This is not a recommendation to trade.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.