British Pound GBP Long-term Trend Analysis

Currencies / British Pound Feb 07, 2020 - 04:07 PM GMT

This is part 3 of my British Pound Analysis that concludes in a detailed trend forecast for 2020

British Pound 2019 Review (Part1)
Political Implications
Fundamentals
US Dollar Index
GBP Long-term analysis
GBP Trend Analysis
Elliott Wave Theory
GBP 2020 Forecast Conclusion

However the whole of analysis was first made available to Patrons who support my work: British Pound GBP Trend Forecast 2020

So for immediate first access to ALL of my analysis and trend forecasts then do consider becoming a Patron by supporting my work for just $3 per month. https://www.patreon.com/Nadeem_Walayat.

GBP Long-term Trend Analysis

The overall trend for a good 20 years has been for sterling to trend lower against the US Dollar. However, within this overall bearish big picture sterling does tend to have bull markets that run for well over a year. The most recent bear market ended in August 2019 which suggests that GBP should enjoy a good years worth of upside, maybe right into the end of 2020 before the over riding trend attempts to reassert itself to once more target the bear market lows of £/$1.20 and deeper low of £/$1.15.

Secondly, sterling is showing signs of having broken out of its previous bear market late 2019, that implies several months of upside price action during early 2020.

Thirdly there is clear resistance at £/$1.44 and support at 1.25. Therefore could be expected to trade within this range for likely most of 2020, where a break above 1.44 would target 1.48. Thus with GBP currently near 1.30 then there is far more potential for upside price action towards 1.44 then downside to 1.25.

Therefore as in my early September 2019 analysis, long-term GBP analysis continues to target a trend towards resistance at £/$1.44, which is more likely than not to break to target £1.48. Thus long-term trend analysis appears bullish for the prospects for sterling 2020.

British Pound GBP Trend Forecast 2020

The rest of this analysis has first been made available to Patrons who support my work: British Pound GBP Trend Forecast 2020

Political Implications
Fundamentals
US Dollar Index
GBP Long-term analysis
GBP Trend Analysis
Elliott Wave Theory
GBP 2020 Forecast Conclusion

Recent analysis includes :

Whilst my next soon to be completed analysis will be a detailed trend forecast for the Stock Market.

Scheduled Analysis Includes:

UK Housing market series
Machine Intelligence Investing stocks sub sector analysis
Bitcoin trend forecast
Euro Dollar Futures
EUR/RUB
US House Prices trend forecast update

So for immediate first access to ALL of my analysis and trend forecasts then do consider becoming a Patron by supporting my work for just $3 per month. https://www.patreon.com/Nadeem_Walayat.

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Your Analyst

Nadeem Walayat

http://www.marketoracle.co.uk

Nadeem Walayat has over 30 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis focuses on UK inflation, economy, interest rates and housing market. He is the author of five ebook's in the The Inflation Mega-Trend and Stocks Stealth Bull Market series that can be downloaded for Free.

Nadeem is the Editor of The Market Oracle, a FREE Daily Financial Markets Analysis & Forecasting online publication that presents in-depth analysis from over 1000 experienced analysts on a range of views of the probable direction of the financial markets, thus enabling our readers to arrive at an informed opinion on future market direction. http://www.marketoracle.co.uk

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

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