GBP/USD Forecast February 21, 2017, Technical Analysis

The GBP/USD pair rallied on Monday, slamming towards the 1.25 resistance barrier. If we can break above the 1.2550 level, I think that the market will continue to reach towards the 1.27 level. Pullbacks continue to find buyers, and ultimately, I believe that the British pound is changing the overall trend. This is always a messy affair, but given enough time the buyers should continue to find plenty of opportunities in the longer-term uptrend that I see coming. Because of this, I have no interest in shorting the British pound and believe that it has been punished quite drastically for the exit. We may get another push a lower when the actual article 50 is triggered, but that should be the bottom.