GBP/USD climbs to one-week highs at 1.3780 as USD holds onto losses

  • US dollar tumbles after Fed Chair Powell speech at Jackson Hole symposium.
  • Cable soars on Friday, trims half of last week’s losses.

The GBP/USD pair rose sharply on Friday and extended weekly gains. It is about to end the week hovering around 1.3765, up almost 150 pips from a week ago.

A sharp decline of the US dollar across the board boosted GBP/USD on Friday that reversed sharply from a multi-day low at 1.3679, to the highest since August 18 at 1.3780.

The speech from Fed Chair Jerome Powell at the Jackson Hole symposium left the USD vulnerable. He signaled some tapering before the end of the year, proving no specific timeline. “There has been clear progress toward maximum employment”, said Powell.

Powell’s comments boosted equity prices and US bond yields pulled back. The mentioned combination weighed on the USD.

Technical outlook

According to Yohay Elam, Senior Analyst at FXStreet, on the upside, some resistance is at 1.3770, a late-August high. “It is followed by 1.3810, which is where the 50-day and 200-day SMAs are bound to meet. More importantly, 1.3895 capped cable in mid-August and defends the psychologically important 1.40 level.”

Elam warns that if the GBP/USD retreats further, “the 50-day SMA is about to break below the 200-day SMA – what would consist of a "death cross pattern." That would be a bearish sign.”

Technical levels


Today last price 1.3766
Today Daily Change 0.0066
Today Daily Change % 0.48
Today daily open 1.37
Daily SMA20 1.3807
Daily SMA50 1.3822
Daily SMA100 1.3921
Daily SMA200 1.3801
Previous Daily High 1.3768
Previous Daily Low 1.3689
Previous Weekly High 1.3879
Previous Weekly Low 1.3602
Previous Monthly High 1.3984
Previous Monthly Low 1.3572
Daily Fibonacci 38.2% 1.3719
Daily Fibonacci 61.8% 1.3738
Daily Pivot Point S1 1.367
Daily Pivot Point S2 1.364
Daily Pivot Point S3 1.3591
Daily Pivot Point R1 1.3749
Daily Pivot Point R2 1.3798
Daily Pivot Point R3 1.3828



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD drops towards 1.1300 as Omicron, inflation concerns weigh

EUR/USD is trading below 1.1350, consolidating the biggest daily jump in a fortnight. The US dollar rebound amid a cautious mood. Omicron, US-China woes keep investors on the edge, Rising US inflation expectations underpin the yields. US jobless claims, Omicron updates closely eyed.


GBP/USD trades with modest gains above 1.3200 mark, lacks follow-through

GBP/USD is trading flat above 1.3200, struggling to capitalize on the overnight goodish rebound from a one-year low. Fresh COVID-19 jitters pushed back BoE rate hike expectations and undermined the pound. Resurgent USD demand further stalled aggressive bullish bets.


Gold: Doji below 200-DMA teases bears, Omicron updates eyed

Gold portrays trader’s indecision below the key moving average following Wednesday’s bearish candlestick. Market sentiment dwindles as virus-linked news battles geopolitical fears. Friday’s US CPI becomes crucial as inflation expectations improve.

Gold News

Why MATIC price could soon see a meteoric rise toward the round level of $4

MATIC price appears to be ready for a major upswing toward $3.84. The governing technical pattern suggests that the layer-2 token is preparing for a 62% climb.

Read more

Cyber Monday 2021 Discounts!

Glued to your trading screen on Cyber Monday? Upgrade your skills by signing up for FXStreet’s Premium service, offered at a discount of up to 50%. Fellow traders have already taken advantage of Black Friday profits. What about you? 

Subscribe now!