GBP/USD Forecast December 26, 2016, Technical Analysis

The GBP/JPY pair fell a bit during the day on Friday, as we tested the 1.22 handle. I believe that this market continues to get lower over the longer term, and short-term rallies that show signs of exhaustion will be nice selling opportunities. The British pound seems to be reaching towards the 1.21 handle again, and then after that the 1.20 level which is massively supportive. I am negative of this pair, but also recognize that we aren’t necessarily going to see some type of massive breakdown. I think a slow grind lower is what we can expect.