In the dynamic world of forex trading, market sentiment can shift rapidly, guided by a myriad of economic indicators, geopolitical events, and global economic trends. Currently, traders are displaying a strong bullish sentiment towards the British Pound (GBP) and are closely monitoring the New Zealand Dollar to US Dollar (NZD/USD) currency pair. In this article, we delve into the factors driving the optimism behind the Pound and the factors influencing the vigilant watch on NZD/USD.

The GBPAUD Performance

(UPDATE) - GBPAUD is set to resume the trend.

GBPAUD has been creating a bullish market structure since it bounced from the ascending trendline. This price action caused the market to break above the previous resistance zone around 1.91797 and continued to create higher lows and confirmed that the buyers are in the market. 

According to this price action, traders anticipate the trend to continue trading higher. At the moment the market is forming a trend continuation pattern and as such, traders will use this pattern to identify bullish trading opportunities.

The GBPJPY Performance

GBPJPY trend continuation is on the cards.

GBPJPY is currently trading on the 38.2 of the Fibonacci retracement tool taken on the bullish impulse wave. The market is trading within a bullish trend and recently broke above the previous resistance zone around 179.911. According to this price action, traders are bullish and anticipate the market to resume the trend. As such, traders will use a break above the channel to confirm a push to the upside.

Read More: NFP Volatility Expected To Create A Move For USDCAD

The NZDUSD Performance

NZDUSD is trading in the support zone.

NZDUSD is trading within a descending channel. Recently the market broke below the previous support zone around 0.62153 as well as the support trendline. This price action suggested that the bears are interested in this market and anticipate a drop. At the moment the market is trading in the support zone. According to this price action, the market can break either above the channel and push to the upside or break below the support zone and push to the downside. 

Final Thoughts On Today's Analysis 

Traders are currently bullish on the British Pound, propelled by a combination of positive economic data and robust recovery. However, Pound's stability following Brexit uncertainties and the BoE's hawkish stance has solidified its appeal to traders.

Concurrently, the NZD/USD currency pair is under the microscope due to factors like US economic data, commodity prices & geopolitical developments. In the ever-changing forex landscape, traders' actions reflect their response to these variables, shaping the market's direction in the coming weeks and months. Watch our YouTube channel to learn more about our analysis.