GBP/USD – Long Position Could Be the Best Course of Action With the Ongoing Uptrend

My FX List
March 24, 2023
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Long Position

Long Position

Take Profit: 1.2400
Stop Loss: 1.2200
Timeline: 1 day

Short Position

Sell Stop: 1.2283
Take Profit: 1.2200
Stop Loss: 1.2325

Talking about price movements on charts, the Ichimoku cloud and 50-period Moving Average support the ongoing bullish trend. Along with the pair advancing to the 78.6% Fibonacci Retracement level, we also noticed the Relative Strength Index sliding slightly below the overbought level. As more buyers may enter the market to go long on the cable pair, the charts are giving away some clues for the upswing that would be going on for a while.

The price of the GBP/USD pair has already reached its highest level since February 2. The UK consumer inflation data was strong, and the Fed’s most recent interest rate announcements contributed to the price rising to multi-week highs. The forthcoming BoE meeting and outcomes will be crucial for the pair because the UK is still firmly grasped by inflation. Major bank failures are a sign of a larger crisis affecting the banking industry as a whole. The combination of the banking crisis as well as record high inflation is not favourable to the economy, and the BoE will struggle to reach a consensus on how to tackle the complicated problems.

 

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