GBPUSD Price Analysis: Bears move in on a fresh layer of support
- GBPUSD bears are now taking on a new layer of support.
- Bulls eye a correction for the end of the week.
As per the prior analysis that was made after the Federal Reserve event on Wednesday and during high volatility, GBP/USD Price Analysis: Bears pounce on the bulls and drag them back to channel support, the price has followed the trajectory as forecasted.
GBP/USD prior analysis
It was stated that the price had dropped into the channel's support following Powell's pushback against rallying risk markets when pressed for commentary around the timings of a pivot. However, it was argued that on a break of support, there was a void of liquidity according to the rally that took place on October 25:
It was argued that the most likely trajectory from here would be for a correction prior to the next impulse to the downside, and that's what we got, with follow-through to the next layer of support:
The price might be expected to correct at this juncture but the Nonfarm Payrolls will be the clincher at the start of the North American day on Friday:
Author
Ross J Burland
FXStreet
Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.
