- GBP/USD reverses from the highest levels since December 31, 2019.
- The short-term rising channel, 200-HMA keeps the buyers hopeful.
- Fresh buying awaits a clear break of 1.3300.
- BOE Governor Andrew Bailey will speak in Jackson Hole Symposium around 13:05 GMT.
GBP/USD drops to 1.3196 amid the initial Asian session trading on Friday. Despite refreshing the multi-month high, the Cable failed to cross the late-2019 top below 1.3300 the previous day. As a result, sellers remain hopeful. However, the key speech from the BOE Government is ahead and makes the traders cautious.
As a result, the pair’s traders are waiting for the event while observing a three-day-old rising channel and the sustained trading beyond 200-HMA for immediate direction.
With the RSI conditions favoring the bullish channel, the pair’s another attempt to clear a descending trend line from August 19, at 1.3230 now, can’t be ruled out. However, the said channel’s resistance around 1.3265, followed by the 1.3300 threshold will challenge the bulls afterward.
On the flip side, the break of the channel’s support and 200-HMA, respectively near 1.3175 and 1.3155 will be needed for the pair’s further downside towards the weekly low near 1.3050 and the 1.3000 psychological magnet.
GBP/USD hourly chart
Trend: Sideways
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.
Recommended content
Editors’ Picks
EUR/USD holds gains above 1.0700, as key US data loom
EUR/USD holds gains above 1.0700 in the European session on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
GBP/USD extends recovery above 1.2500, awaits US GDP data
GBP/USD is catching a fresh bid wave, rising above 1.2500 in European trading on Thursday. The US Dollar resumes its corrective downside, as traders resort to repositioning ahead of the high-impact US advance GDP data for the first quarter.
Gold price edges higher amid weaker USD and softer risk tone, focus remains on US GDP
Gold price (XAU/USD) attracts some dip-buying in the vicinity of the $2,300 mark on Thursday and for now, seems to have snapped a three-day losing streak, though the upside potential seems limited.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
US Q1 GDP Preview: Economic growth set to remain firm in, albeit easing from Q4
The United States Gross Domestic Product (GDP) is seen expanding at an annualized rate of 2.5% in Q1. The current resilience of the US economy bolsters the case for a soft landing.