Pound Dollar GBP/USD forex currency pair ends the trading week near the 1.3922 area. The pair continues to move within the framework of growth and the beginning of working out the bearish ”Wolf Wave " model. Moving averages indicate a bullish trend. Prices are testing the area between the signal lines, which indicates pressure from buyers and the potential continuation of the rise of British Pound against US Dollar at current levels. At the moment, we should expect an attempt to grow and test the resistance area near the level of 1.4155. Further, the rebound and the beginning of the fall of Pound Dollar quotes in the area below the level of 1.2045.
GBP/USD Forex trading forecast for the week of May 3-7, 2021
An additional signal in favor of the fall of British Pound will be a test of the trend resistance line on the relative strength indicator. The second signal will be a rebound from the upper limit of the bearish ”Wolf Wave " model. The cancellation of the fall of GBP/USD pair in the current trading week of May 3-7, 2021 will be a strong growth and a breakdown of the 1.4505 area. This will indicate the breakdown of an important resistance area and the continuation of the rise to the area above the level of 1.5045. Confirmation of the fall of GBP/USD currency will be the breakdown of the support area and the closing of the price below the level of 1.3405.
GBP/USD Forex trading forecast for the week of May 3-7, 2021
Among the important news from the UK that can affect Pound Dollar, it is worth highlighting: The Bank of England's Interest Rate Decision (Bank of England (BoE) Interest Rate Decision), the Speech of the Bank of England's Governor Bailey (Bank of England (BoE) Governor Bailey Speech).
Thus, GBP/USD Forex trading forecast for the week of May 3-7, 2021 suggests an attempt to grow and test the resistance level near the 1.4155 area. Where should we expect the currency pair to continue falling with a target below the 1.2045 area? An additional signal in favor of a decline will be a test of the trend line on the relative strength indicator. The cancellation of the fall of Pound Dollar pair will be a strong growth and a breakdown of the 1.4505 level. In this case, we should expect the pair to continue to rise with a potential target above the level of 1.5045.