GBPUSD Daily Outlook – On Wednesday the Bank of Canada cut rates by 50 basis points and said it’s ready for more, we found out that German business activity growth slipped to a three-month low in February and that U.K. Service sector growth slowed in February.
On Thursday BOE’s Carney Speaks in London, and Bank of Canada’s Poloz Gives an Economic Progress Report.
Today I’m looking at the GBP/USD pair which found support at the 50% Fibonacci retracement level we identified last month, at 1.2741 and it appears to have gone back inside the downward channel it’s been trading within since December 2019.
The pair remains below the Ichimoku cloud so this could create a range trading opportunity for medium-term traders but the short-sellers could eye lower support levels next time.
Would you rather trade this range or simply short the GBP/USD long term? Or do you think the pair will reverse and start a new bullish trend soon?
Head over to the comments section and let me know!
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