- GBP/USD weakened further due to weaker key economic indicators in the UK and heightened geopolitical concerns.
- Technical analysis highlights the possibility that the pair will test important support at 1.2445 and possibly year-to-date lows at 1.2299.
- The RSI is showing oversold conditions, suggesting strong bearish pressure, but it has not yet reached extreme levels.
Sterling widened its decline against the US dollar for the third day in a row, falling 0.47% after the UK's preliminary PMI and retail sales data disappointed investors. In addition to this, rising geopolitical tensions due to conflicts in Russia, Ukraine, and the Middle East pushed the US currency higher. At the time of writing, GBP/USD is trading at 1.2529 after hitting a daily high of 1.2594.
GBP/USD remains around 1.2520. Market players await next week's US and UK documents
The market mood changed positively, capping the greenback's rise. GBP/USD remains under pressure, but next week's economic data will be crucial in determining direction.
There will be a dearth of economic material in the UK. First, Bank of England (BoE) Deputy Governor Claire Lombardelli will speak on Monday, followed by the announcement of the CBI distribution deal. Next up is car production, national housing prices, and financial stability reports.
Across the pond, the U.S. schedule includes housing data, the release of the minutes of the Federal Reserve's last meeting, durable goods orders, and the release of the core personal consumption expenditures (PCE) price index, the Fed's preferred inflation measure. It will be featured.
GBP/USD Price Prediction: Technical Outlook
GBP/USD is trending lower and the bearish bias is growing. Sellers are eyeing intermediate support at 1.2445, the May 9 low. If the price breaks above this, there is a possibility that it will break the year-to-date low of 1.2299 set on April 22nd.
Indicators such as the Relative Strength Index (RSI) fell below the 30 level and turned oversold. Nevertheless, it has not reached the extreme levels typically seen in solid trends. In case of a downtrend, the 20 level suggests that GBP/USD is oversold.
On the other hand, if the bulls make a move and reclaim 1.2600, the next resistance level will be tested at the November 20 peak at 1.2714. Above this, the next stop would be at the 200-day simple moving average (SMA) of 1.2818.
GBP/USD Price Chart – Daily
British pound PRICE today
The table below shows the percentage change of the British Pound (GBP) against major currencies today. The British pound was the strongest against the Swiss franc.
| USD | EUR | GBP | JPY | CAD | australian dollar | new zealand dollar | swiss franc | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.72% | 0.63% | 0.25% | 0.10% | 0.25% | 0.57% | 0.94% | |
| EUR | -0.72% | -0.08% | -0.45% | -0.61% | -0.44% | -0.14% | 0.23% | |
| GBP | -0.63% | 0.08% | -0.37% | -0.53% | -0.38% | -0.06% | 0.31% | |
| JPY | -0.25% | 0.45% | 0.37% | -0.15% | 0.00% | 0.31% | 0.69% | |
| CAD | -0.10% | 0.61% | 0.53% | 0.15% | 0.14% | 0.47% | 0.84% | |
| australian dollar | -0.25% | 0.44% | 0.38% | 0.00% | -0.14% | 0.33% | 0.72% | |
| new zealand dollar | -0.57% | 0.14% | 0.06% | -0.31% | -0.47% | -0.33% | 0.36% | |
| swiss franc | -0.94% | -0.23% | -0.31% | -0.69% | -0.84% | -0.72% | -0.36% |
The heat map shows the percentage change between major currencies. The base currency is selected from the left column and the quote currency is selected from the top row. For example, if you select British Pounds from the left column and move along the horizontal line to US Dollars, the percentage change displayed in the box represents GBP (Basic)/USD (Quote).
