Monday, September 26, 2022

GBP/USD Corrects Amid Extreme Overbought Conditions

-


While moving upwards, the pair added more than 2.5% in just 8 trading sessions. As a result, the price approached the psychological level of 1.4000.

The pair’s strong bullish momentum coupled with an important resistance level led to a decrease in the volume of long positions. Thus, the British currency entered a correction.

Comprehensive indicator analysis has repeatedly signaled that the pound sterling is overbought. This once again confirms that the pair’s corrective movement in the market is logical.

Outlook

The pair’s correction from the resistance level of 1.4000 is still underway. Moreover, the British pound is still in overbought territory. To extend losses, the price needs to fix below 1.3870. In this case, the way to the level of 1.3800 will open.

InstaForex Group

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here

FOLLOW US

0FansLike
3,502FollowersFollow
0SubscribersSubscribe
spot_img

Related Stories