Pound Sterling Price Forecast: GBP/USD struggles between 50-day SMA monthly.
Despite stepping back from 50-day SMA the previous day, GBP/USD carries the break of monthly falling trend line while taking the bids near 1.2260 amid early Wednesday. That said, the pair aims to challenge May 08 high of 1.2467 beyond 1.2283 immediate resistance comprising 50-day SMA.
During the quote’s further rise past-1.2467, highs marked during the April month around 1.2640/50 will be the key. Meanwhile, pair’s declines below the resistance-turned-support line of 1.236 can refresh the monthly low of 1.2075. However, 50% and 61.8% Fibonacci retracement of the pair’s March-April rise, respectively around 1.2025 and 1.1880, can check the bears below 1.2075.
GBP/USD Forecast: Poised to extend its advance
The GBP/USD pair is trading near its weekly high of 1.2296, holding on to gains this Tuesday. In one hand, the greenback remained out of the market’s favour, while the Sterling surged on the back of a mixed employment report. People filing for unemployment surged to 856.5K in April, much worse than the 150K expected, while the ILO unemployment rate for the three months to March unexpectedly fell to 3.9% from 4.0%. The surge in the Claimant Count Change is the result of the coronavirus-related lockdown, and it didn’t surprise investors.
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