The first bunch of fundamental data from the UK is out, and is no good for Pound: before the data was even released, speculation of a weaker CPI put GBP/USD under selling pressure, down to 1.6170 from previous 1.6220. Inflation finally came out, down to 1.5% as expected, albeit PPI readings were generally weak, pushing the pair to a fresh low of 1.6160, now consolidating nearby. Such weak number diminishes chances of a sooner rate hike in the UK and investors run to price it in.
Technically, the pair breached the 23.6% retracement of its latest bearish run at 1.6190, now immediate resistance as latest recoveries found sellers around it according to the 1 hour chart. In the 4 hours one, indicators had gained bearish momentum, accelerating south below their midlines, supporting some further slides: a downward acceleration below 1.6160 should see the pair extending towards the 1.6110/20 price zone, while if this last gives up, this month low around 1.6050 comes next.
A recovery above 1.6190 on the other hand should take out some of the pressure and see the pair back to its comfort zone between 1.6220 and 1.6250.
View Live Chart for GBP/USD
Technically, the pair breached the 23.6% retracement of its latest bearish run at 1.6190, now immediate resistance as latest recoveries found sellers around it according to the 1 hour chart. In the 4 hours one, indicators had gained bearish momentum, accelerating south below their midlines, supporting some further slides: a downward acceleration below 1.6160 should see the pair extending towards the 1.6110/20 price zone, while if this last gives up, this month low around 1.6050 comes next.
A recovery above 1.6190 on the other hand should take out some of the pressure and see the pair back to its comfort zone between 1.6220 and 1.6250.
View Live Chart for GBP/USD
Recommended Content
Editors’ Picks
GBP/USD resumes upside toward 1.3300 ahead of BoE rate call
The GBP/USD gains traction and approaches 1.3300 in European trading on Thursday, having found buyers near 1.3150. A broad US Dollar pullback and a rebound in risk sentiment offer support to the pair ahead of the BoE policy announcements.
EUR/USD rises further toward 1.1200, focus shifts to ECB-speak
EUR/USD stays strongly bid toward 1.1200 in the European session on Thursday. The pair capitalizes on a renewed US Dollar retreat and an upbeat mood. Traders digest the Fed's dovish outlook, bracing for ECB-speak for fresh trading incentives. US data are also eyed.
Gold price jumps back closer to all-time peak, $2,600 remains in sight amid fresh USD weakness
Gold price regains positive traction following the previous day's pullback from the all-time peak and builds on its steady intraday ascent heading into the European session on Thursday.
BoE expected to keep interest rate unchanged at 5% as price pressures persist
After a close call in August, the Bank of England’s September interest rate decision is keenly awaited for fresh cues on the bank’s future policy action and the pace of its bond sales.
Bitcoin surges to $62,000 mark after 50 bps Fed rate cut
Bitcoin and Ripple eye for a rally as they break and find support around their resistance barrier. Meanwhile, Ethereum demonstrates signs of recovery as it approaches a critical resistance level, indicating that an upward rally could be on the horizon if it successfully breaks through.
Moneta Markets review 2024: All you need to know
VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.