GBP/USD hits fresh lows but remains in a range, above 1.2300

  • Pound loses momentum during the American session, extends losses versus US Dollar, trims gains against Euro. 
  • Cable prints fresh daily lows but remains on top of 1.2300. 

The GBP/USD pair dropped to 1.2312 during the American session and as of writing is trading at 1.2325, modestly lower for the day, holding in a small range on a quiet day. Volatility remained lows favoring the continuation of the consolidation in GBP/USD. 

Since Friday’s US session the pair is moving between 1.2300 and 1.2380, consolidating the sharp rebound from level under 1.2000. A slide below 1.2300 would point to more weakness while on top of 1.2380 a visit to 1.2400 seems likely. 

Central banks on the radar 

Tomorrow, the European Central Bank will have its meeting. Many changes are expected so the event, including President Draghi press conference, could have a large impact on the currency market. 

Next week on Wednesday will be the turn of the Federal Reserve decision. A rate cut is expected. Analysts will look for signals about another rate cut before year-end. “US producer prices unexpectedly rose in August (0.1% MoM, 0.0% MoM expected, 0.2% MoM prior). However, better-than-expected producer prices did not change market expectations that the Fed will cut interest rates again next Wednesday. Moreover, U.S. President Trump added more pressure on the Fed to push down interest rates into negative territory,” explained BBVA analysts. 

In the UK, next Thursday, the Bank of England will announce its decision on monetary policy. Of the three central banks is the only one without expectations of new measures. “Brexit preparations resulted in volatile UK growth over the first half of the year, but the underlying trend is subdued and PMIs suggest that remained the case in Q3. Our forecast has been for persistent Brexit uncertainty to prompt a rate cut from the BoE. But 2% core inflation and 4% wage growth might keep the central bank on the sidelines”, said RBC economists. 


Today last price 1.2323
Today Daily Change -0.0031
Today Daily Change % -0.25
Today daily open 1.2354
Daily SMA20 1.2202
Daily SMA50 1.229
Daily SMA100 1.2533
Daily SMA200 1.2747
Previous Daily High 1.238
Previous Daily Low 1.2306
Previous Weekly High 1.2354
Previous Weekly Low 1.1958
Previous Monthly High 1.231
Previous Monthly Low 1.2015
Daily Fibonacci 38.2% 1.2352
Daily Fibonacci 61.8% 1.2334
Daily Pivot Point S1 1.2314
Daily Pivot Point S2 1.2273
Daily Pivot Point S3 1.224
Daily Pivot Point R1 1.2388
Daily Pivot Point R2 1.2421
Daily Pivot Point R3 1.2462



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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD tension remains elevated ahead of the Fed

EUR/USD is trading above 1.1050, in a narrow range ahead of the all-important Fed decision. Chair Powell is set to cut rates but signal no further stimulus is on the cards.


GBP/USD extends its falls to 1.2450 amid weak UK inflation, Brexit impasse

GBP/USD has dropped to around 1.2450 as UK headline CPI missed with 1.7% in August. Brexit negotiations remain stuck according to Chief EU negotiator Barnier. The Fed decision is eyed.


USD/JPY holds on to recovery gains above 108.00 ahead of Fed

Not only upbeat trade numbers from Japan but upbeat trade/political headlines also help the USD/JPY pair to remain firm around 108.20 prior to Wednesday’s European session. Focus on FOMC decision.


Gold: Pivots around $1500 mark, awaits FOMC policy update

Gold extended its sideways consolidative price action through the early European session on Wednesday and was seen pivoting around the key $1500 psychological mark, awaiting FOMC policy decision.

Gold News

Forex Today: Fed set to trigger high volatility, oil falls, altcoins advance

Tension is mounting ahead of the Federal Reserve decision later today. Economists expect a 25 basis point rate cut amid slowing global growth and investment. 

Read more