GBP/USD Price Analysis: Tumbles below 1.2500 as bears cut bulls hopes short

GBP/USD registers a decline of 0.27%, influenced by US inflation data that suggests the Federal Reserve may delay rate cuts.
The pair's recent inability to break the 200-day moving average at 1.2557 highlights its downward bias, with support levels now in focus.
Potential for further losses if the 'dark cloud cover' candlestick pattern forms, targeting 1.2400 and possibly extending to the YTD low of 1.2300.

Christian Borjon Valencia FXStreet

During the mid-North American session, the Pound Sterling retreats and registers losses against the US Dollar, slumping below 1.2500. Data from the United States showed that inflation is picking up, which would deter Fed intentions from cutting interest rates. The GBP/USD trades at 1.2481, down 027%.

GBP/USD Price Analysis: Technical outlook

Although the GBP/USD closed three days of consecutive gains, it remains downward biased, as buyers failed to crack stir resistance at the 200-day moving average (DMA) at 1.2557. That exposed the 1.2500 figure, which was surrendered by fundamental news.

If the GBP/USD finishes Friday’s session at around the 1.2480, that will form a ‘dark cloud cover,’ opening the door for further losses. The next support would be 1.2400, followed by the year-to-date (YTD) at 1.2300.

On the other hand, if buyers lift the spot price above 1.2500, that would open the door to challenge the 200-DMA.

GBP/USD Price Action – Daily Chart

GBP/USD

Overview
Today last price	1.2481
Today Daily Change	-0.0033
Today Daily Change %	-0.26
Today daily open	1.2514

Trends
Daily SMA20	1.2524
Daily SMA50	1.2626
Daily SMA100	1.2651
Daily SMA200	1.2559

Levels
Previous Daily High	1.2527
Previous Daily Low	1.2454
Previous Weekly High	1.2499
Previous Weekly Low	1.2367
Previous Monthly High	1.2894
Previous Monthly Low	1.2575
Daily Fibonacci 38.2%	1.2499
Daily Fibonacci 61.8%	1.2482
Daily Pivot Point S1	1.247
Daily Pivot Point S2	1.2426
Daily Pivot Point S3	1.2397
Daily Pivot Point R1	1.2542
Daily Pivot Point R2	1.2571
Daily Pivot Point R3	1.2614

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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