After five consecutive losing sessions, GBP/USD managed to reverse directions and posted gains last week. British data was strong, as Final GDP for Q3 was unrevised at 0.6% and retail sales posted a strong gain of 1.4%. As expected, the BoE held rates at 0.75%. Brexit took a back seat on Thursday, as the U.K posted solid data and the Bank of England stayed on sidelines. Prime Minister May is in a political pickle, as the withdrawal agreement with the EU will have a tough time getting through parliament. A vote is scheduled for mid-January, and if the deal is voted down, Britain could be on its way to a no-deal exit, which would likely send the pound sharply lower. Traders can expect a quiet Christmas week, but the pound could resume its downward spiral after New Year’s. GBP/USD daily graph with resistance and support lines on it. Click to enlarge: * All times are GMT GBP/USD Technical analysis Compared to roller-coaster a week earlier, Pound/dollar had a quiet week. 1.2590 (mentioned last week), saw some activity late in the week. Technical lines from top to bottom: 1.3170 was a swing high in early November. 1.3070 was a high point in mid-November. The symbolic number of 1.3000 is important after providing support to the pair in late September. 1.2910 was a high point in late November. 1.2850 capped recovery attempts in late November. Further down, 1.2790 served as support late August and also beforehand. 1.2765 was a swing low in mid-November. It is followed by the trough of 1.2725 seen earlier that month. The current 2018 trough at 1.2660 is the next level. 1.2590 is next. Even lower, 1.25 is a round number and also worked as support in early 2017. It could break this week. Further down, 1.2420 and 1.2330 are notable. I am neutral on GBP/USD With investors winding up positions at the end of the year and markets taking off some time on both sides of the pond, we’re unlikely much movement this week from GBP/USD. Our latest podcast is titled What to expect from the Fed, trade, and the Brexit saga Follow us on Sticher or iTunes Further reading: EUR/USD forecast – for everything related to the euro. USD/JPY forecast – projections for dollar/yen AUD/USD forecast – predictions for the Aussie dollar. USD/CAD forecast – Canadian dollar analysis Forex weekly forecast – Outlook for the major events of the week. Safe trading! Kenny Fisher Kenny Fisher Kenny Fisher - Senior Writer A native of Toronto, Canada, Kenneth worked for seven years in the marketing and trading departments at Bendix, a foreign exchange company in Toronto. Kenneth is also a lawyer, and has extensive experience as an editor and writer. Kenny's Google Profile View All Post By Kenny Fisher GBP USD ForecastMajorsWeekly Forex Forecasts share Read Next USD/JPY Forecast December 24-28 – Safe sailing for yen in tumultuous markets Kenny Fisher 4 years After five consecutive losing sessions, GBP/USD managed to reverse directions and posted gains last week. British data was strong, as Final GDP for Q3 was unrevised at 0.6% and retail sales posted a strong gain of 1.4%. As expected, the BoE held rates at 0.75%. Brexit took a back seat on Thursday, as the U.K posted solid data and the Bank of England stayed on sidelines. Prime Minister May is in a political pickle, as the withdrawal agreement with the EU will have a tough time getting through parliament. A vote is scheduled for mid-January, and if the deal is… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
