Pound Sterling Price News and Forecast: GBP/USD flirts with three-week lows, around 1.3785-80 area
|GBP/USD Forecast: Inevitable break below critical support? King Dollar seems unstoppable
An 8.8% annual pay rise – that is what British workers have received, on average – but that is likely insufficient to battle King Dollar as fears of the Federal Reserve are on the rise.
Britain's latest jobs report showed an impressive 8.8% increase in average earnings, but officials were quick to note that it is based on "base effects" – low salary growth this time last year. Pound bulls were likely impressed by the UK's low Unemployment Rate of 4.7% in June, also better than expected, but less delighted with the meager decrease in jobless claims in July. The Claimant Count Change dropped by only 7,800 against 84,100 projected. Read more...
GBP/USD Price Analysis: Flirts with three-week lows, around 1.3785-80 area
The GBP/USD pair extended the previous day's pullback from the 1.3875-80 resistance zone and witnessed some selling for the second consecutive day. The downward momentum dragged the pair to three-week lows, around the 1.3785 region during the first half of the European session.
Looking at the technical picture, the recent pullback from the vicinity of the 1.4000 psychological mark constituted the formation of a bearish double-top on the daily chart. This, along with the overnight rejection near a descending triangle support breakpoint, supports prospects for a further near-term depreciating move. Read more...
GBP/USD keeps the red near multi-week lows, below 1.3800 mark post-US data
The GBP/USD pair remained depressed below the 1.3800 mark, or multi-week lows and failed to gain any respite from disappointing US macro data.
The pair extended the previous day's rejection slide from the 1.3875-80 supply zone and witnessed some follow-through selling for the second successive session on Tuesday. The British pound was being pressured by worries that job losses will rise after the furlough scheme ends in September. Read more...
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