The GBP/USD pair broke below a daily ascendant trend line coming from Feb 12 low at 1.5208, earlier in the day, falling as low as 1.5384 on the back of broad dollar strength. But the pair bounced sharply after the release of the UK Markit Manufacturing PMI, up 54.1, the fastest growth in seven month. The GBP/USD pair advanced up to 1.5420, completing a pullback to the mentioned trend line, but holding below it.
Technically and despite holding above 1.5400, the 4 hours hart shows that the upside remains limited, as the 20 SMA heads lower around 1.5470, whilst the indicators hold well below their midlines, albeit now turning north. A steady advance above the trend line, may lead to a test of the mentioned 1.5470 price zone, whilst additional advances above this last should see the rally extending up to 1.5510. A retracement below 1.5380 on the other hand, will expose the pair to a quick slide towards 1.5330, February 23 daily low.
View Live Chart for GBP/USD
Technically and despite holding above 1.5400, the 4 hours hart shows that the upside remains limited, as the 20 SMA heads lower around 1.5470, whilst the indicators hold well below their midlines, albeit now turning north. A steady advance above the trend line, may lead to a test of the mentioned 1.5470 price zone, whilst additional advances above this last should see the rally extending up to 1.5510. A retracement below 1.5380 on the other hand, will expose the pair to a quick slide towards 1.5330, February 23 daily low.
View Live Chart for GBP/USD
Recommended Content
Editors’ Picks
EUR/USD edges lower toward 1.0700 post-US PCE
EUR/USD stays under modest bearish pressure but manages to hold above 1.0700 in the American session on Friday. The US Dollar (USD) gathers strength against its rivals after the stronger-than-forecast PCE inflation data, not allowing the pair to gain traction.
GBP/USD retreats to 1.2500 on renewed USD strength
GBP/USD lost its traction and turned negative on the day near 1.2500. Following the stronger-than-expected PCE inflation readings from the US, the USD stays resilient and makes it difficult for the pair to gather recovery momentum.
Gold struggles to hold above $2,350 following US inflation
Gold turned south and declined toward $2,340, erasing a large portion of its daily gains, as the USD benefited from PCE inflation data. The benchmark 10-year US yield, however, stays in negative territory and helps XAU/USD limit its losses.
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Week ahead – Hawkish risk as Fed and NFP on tap, Eurozone data eyed too
Fed meets on Wednesday as US inflation stays elevated. Will Friday’s jobs report bring relief or more angst for the markets? Eurozone flash GDP and CPI numbers in focus for the Euro.