The British pound went back and forth during the day on Thursday, showing signs of volatility. It looks as the 1.25 level will continue to be supportive, so a break above the top of the candle should send this market looking towards the 1.27 level above. Support just below the 1.25 level is strong, so I believe the pullbacks offer value that we should be taking advantage of. Longer-term, I believe that the British pound is trying to form a bottom, which is always a massive task, and of course causes for messy trading. Nonetheless, I believe the buyers are coming back.
Written by FX Empire