GBP/USD weekly chart: falling wedge headed to 37-year support?
The British pound (
GBP/USD) hit an intraday low of 1.1406, temporarily breaking below Covid-20 lows and hitting the lowest level in 37 years, before recovering to 1.147 as of this writing.
The GBPUSD weekly chart reveals intriguing long-term patterns:
Idea written by Piero Cingari, forex and commodity analyst at Capital.com
GBP/USD) hit an intraday low of 1.1406, temporarily breaking below Covid-20 lows and hitting the lowest level in 37 years, before recovering to 1.147 as of this writing.The GBPUSD weekly chart reveals intriguing long-term patterns:
- The major long-term trend is represented by a falling wedge, with the lower support line set by January 2009's and October 2016's lows and upper resistance line by November 2007's and May 2021's highs.
- The ultra-ten-year falling wedge contains two lateral ranges (May 2009-June 2016 and July 2016-September 2022), both characterised by a similar 20% width.
- The long-run falling wedge's direction collides with the all-time low and support level of 1.051 hit in February 1985.
- If 1.14 defines a new multi-year resistance level and a new 20% side range is established, the next long-term support could be as lows as 0.95.
Idea written by Piero Cingari, forex and commodity analyst at Capital.com
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.