GBP/USD Price Forecast March 26, 2018, Technical Analysis

The British pound has been very noisy during the trading session on Friday, just as it was on Thursday. The market looks likely to try to continue to go higher, but that isn’t to say that is going to be an easy move. The 1.43 level above is going to be resistance, but once we break there I think that the British pound will go looking for the 1.45 handle. With the Bank of England looking likely to raise interest rates in the next couple of months, that of course puts a bit of a bid into the British pound in general.

Even below the 1.40 level, I see support down to the previous downtrend line. That being the case, I believe in buying dips and have no interest in shorting this market, least not anytime soon. Although it’s going to be a very noisy market, I believe that there will be plenty of value hunters out there looking to pick up the British pound whenever it drops. I think that the volatility in the market will probably increase, as we do have a lot of fears of trade wars, but ultimately that will probably punish the US dollar, and therefore putting even more of a bid in this pair to the upside. I believe there is a lot of noise between here and 1.45, so that move higher is going to be very difficult, and more than likely slow.