Type:
Bearish Momentum
Key Levels:
Resistance: 1.2124
Pivot: 1.2057
Support: 1.1855
Preferred Case:
On the H1, price is moving below the ichimoku cloud which supports our bearish bias that price will drop from our pivot at 1.2057 in line with the swing high resistance to the 1st support at 1.1855 in line with the 78.6% fibonacci projection and 161.8% fibonacci extension .
Alternative Scenario:
Alternatively, price may break through pivot structure and rise to the 1st resistance level at 1.2124 in line with the pullback resistance, 23.6% fibonacci retracement and 78.6% fibonacci projection .
Fundamentals:
In the central bank notes, a third of the six members who voted for a hike viewed that the latest increase marked the end of the current hiking cycle while peak inflation revised to more than 10%, adding to the stagflation fears; possible GDP contraction in 2023, giving us a mixed bias for British Pound Futures .
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Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.