Pre-holiday growth of the British pound

Today, the GBP / USD pair is trading in the upper zone of Bank liquidity. The reaction of European players to this event will indicate a further priority. The 1.3604 level remains a significant resistance and the December highs. If the test of this level leads to the formation of the "absorption" pattern at the daily level, the pair will continue to form the December accumulation zone, and the target level will be the Bank level of last week 1.3439.


The holidays make adjustments to the formation of models as volatility has increased and margin requirements have not been changed. In such conditions, it is quite difficult to predict the movement for the next two or three weeks.

For those who continue to hold long positions, a defining event will occur this week. If the December high is updated and the pair is able to gain a foothold and create a new extreme, the growth will continue with a probability of 80% in January. This makes it possible to keep some of the purchases that were opened earlier.

The material has been provided by InstaForex Company -