Cooling Risk Aversion Hits The USD, GBPUSD Deep Turndown And Rebound.
UK inflation is not as serious as the US, superimposed that the UK has raised interest rates twice, boost up GBP, bullish for GBPUSD.
Radical investors are suggesting to trade with a buy order in a light position when the price is in low position than 1.31135, target on 1.31694 , stop loss on 1.30850.
During the Asian session today, the pound opened lower and moved higher, rebounding slightly and fluctuating around 0.10%. As Ukrainian President, Volodymyr Zelensky said yesterday that he has become discouraged about joining NATO and is willing to discuss the recognition of Crimea and the Republic of Donbass, the softening of President Zelensky’s attitude eased tensions between Russia and Ukraine, and the cooling of risk aversion hit the dollar. In contrast, the pound, although the United Kingdom and the United States sanctioned Russia on the same day to ban its energy products imports, boosted oil prices and thus pushed up inflation. GBP is strong. The GBP and USD are easy to rise and hard to fall, and the market outlook is bullish.
In the 4-hour K-line chart, 5MA turns up and near the turndown 10MA, 20MA down . The K-line rebound is above the 10MA and it is a positive line. MACD column positive amplification, KD indicator up . There is a chance for deep turndown and rebound in the short term.
(The above remarks represent personal views and do not represent the platform’s position. Opinions are for reference only)