Pound Sterling Price News and Forecast: GBP/USD climbs to 1.2230 area
|GBP/USD Forecast: Pound to remain bullish as long as 1.2175 support holds
GBP/USD has gone into a consolidation phase early Thursday following Wednesday's impressive rally. The near-term technical outlook suggests that the pair's bullish bias stays intact and an extended recovery could be witnessed in case buyers continue to defend 1.2175.
The dollar came under intense selling pressure as investors scaled back hawkish Fed bets on soft inflation figures. The US Bureau of Labor Statistics reported on Wednesday that the annual Consumer Price Index (CPI) declined to 8.5% in July from 9.1% in June. The Core CPI stayed unchanged at 5.9% in the same period, coming in lower than analysts' forecast of 6.1%. Read more...
GBP/USD climbs to 1.2230 area, fresh daily high amid renewed USD selling bias
The GBP/USD pair recovers nearly 50 pips from the intraday low and touches a fresh daily peak, around the 1.2230 region during the early European session.
The US dollar struggles to capitalize on its modest bounce and meets with fresh supply on Thursday, which, in turn, offers some support to the GBP/USD pair. Wednesday's softer US consumer inflation figures force investors to scale back expectations for a more aggressive rate hike by the Fed. Apart from this, a generally positive tone around the equity markets undermines the safe-haven buck. Read more...
GBP/USD to witness extended recovery if buyers can defend 1.2175
GBP/USD has gone into a consolidation phase early Thursday following Wednesday's impressive rally. The pair is set to remain bullish as long as 1.2175 support holds, FXStreet’s Eren Sengezer reports.
“In case the market mood continues to sour, GBP/USD could struggle to stretch higher and vice versa.”
“On the downside, 1.2175 (Fibonacci 23.6% retracement of the latest uptrend) forms strong support. In case the pair drops below that level, bears could show interest and drag cable lower toward 1.2150 (50-period SMA on the four-hour chart) and 1.2100 (Fibonacci 38.2% retracement, 100-period SMA).” Read more...
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