Pound Sterling Price News and Forecast: GBP/USD depressed near five-week low under 1.2300
|GBP/USD Price Analysis: Depressed near five-week low under 1.2300
GBP/USD maintains the late-US session range between 1.2210 and 1.2245 while trading around 1.2235 during the initial Asian session on Thursday. Even so, the pair carries its downside break of an ascending trend line from March 24. As a result, sellers remain hopeful to target 1.2130 support comprising March 18 top and March 27 low.
However, the pair’s further downside could make the Cable vulnerable to plunge towards March 20 top surrounding 1.1935. Alternatively, the pair’s pullback moves beyond the support-turned-resistance line of 1.2285 will have 10-day EMA and a two-week-old descending trend line, respectively around 1.2330 and 1.2355, as following upside barriers.
GBP/USD Forecast: Bears eyeing a break of 1.2170
The GBP/USD pair surged intraday to 1.2339 but ended up collapsing to 1.2209 afresh monthly low. The UK macroeconomic figures came in mixed, as Manufacturing Production plunged by 4.6% in March, while Industrial Production declined by 4.2%, both better than anticipated, although still indicating a steep contraction. Same happened with economic growth, as the UK economy contracted 2.0% in the three months to March, better than the -2.5% expected. The Goods Trade Balance, in the meantime, posted a deficit £ 12.508 B in March, much worse than anticipated. The later decline of the pair was the result of the resurgent dollar’s demand. The UK won’t release macroeconomic data this Thursday.
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