GBPUSD in the same boat as the EUR but much weaker
Updated
(chart contains more information)
I think we are in the same situation here with the Pound Sterling as we are with the EURO. The country didn't recover well from the pandemic and then inflation due to the ground situations caused by the pandemic shutdown.
Unlike the EURO, the GBP is showing more weakness than what we see there. Historic price lows seen here, as we have with the EURO vs the USD. There will have to be a lot of optimism to push this up north. Right now, I agree with the bearish bias.
I think we are in the same situation here with the Pound Sterling as we are with the EURO. The country didn't recover well from the pandemic and then inflation due to the ground situations caused by the pandemic shutdown.
Unlike the EURO, the GBP is showing more weakness than what we see there. Historic price lows seen here, as we have with the EURO vs the USD. There will have to be a lot of optimism to push this up north. Right now, I agree with the bearish bias.
Trade active
Last week the market activated this trade idea due to strong weakness in the USD based on sentiment around worsening economic news. As a result of the USD's positiveness during opening day, GBP went bearish, erasing a large part of Friday's gains. I will be paying attention to these levels and letting the trade run as we are in it with clear stops (if we are wrong) and take profits (if we are right).
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