US dollar set for biggest weekly loss as bulls pull out.
“Demand for greenback dwindles as Fed mulls to pause rate hike.”
Greenback is expected to record its biggest lost in four months as traders lower their expectation towards aggressive interest rate hike from Federal Reserve. Recently, meeting minutes from Fed signalled for a possible pause in rate hikes as they would like to monitor policy adjustment’s impact upon US economy. The latest signal from Fed dealt a significant blow on market participants as they speculated for more rate hikes throughout the year.
Quick recap on GBPUSD
GBPUSD recouped its losses after staging a rebound near 1.2191.
GBPUSD Weekly Technical Analysis
In terms of weekly chart, the pair is currently testing near 1.2636, its latest hurdle that could unlock further upside opportunities.
GBPUSD Daily Technical Analysis
While weekly chart looks promising, overall upside momentum on the daily chart is still lacking.
ORDER: BUY STOP
STOP LOSS: 1.2470
Target 1: 1.2900
Target 2: 1.2990
ZFX Analyst’s Comment
While the pair is slacking for the time being, it has the potential to appreciate further if the hurdle around 1.2638 is being resolved. Thus, we would wait for a confirmatory close above the level before entering the market.
Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.
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