|

GBP/USD Price Forecast: Steadies at around 1.2600

  • GBP/USD remains flat, with potential for movement pending UK economic updates and Fed speakers.
  • Technicals suggest vulnerability to further downside if 1.2600 support breaks, with next key levels at 1.2596 and 1.2445.
  • A move above 1.2696 could test resistance at 1.2700, with significant upside resistance at the 200-day SMA of 1.2817.

The GBP/USD fluctuates, yet it remains virtually unchanged at the beginning of the week as UK traders await the release of UK inflation figures and Retail Sales data. In the meantime, aside from Fed speakers, a scarce economic docket in the US might pave the way for some consolidation on the major. The pair trades at 1.2628, flat.

GBP/USD Price Forecast: Technical outlook

The breach of the August 8 daily low of 1.2664 opened the door for further GBP&USD downside. Although the pair has reclaimed the 1.2600 figure, sellers remain in charge. If bears push the exchange rate below 1.2600, the next support would be a November 15 swing low of 1.2596. Once surpassed, the next stop would be the May 9 low of .12445.

On the other hand, if GBP/USD climbs past the November 15 high of 1.2696, 1.2700 will follow. Further upside is seen above 1.2800, with the 200-day Simple Moving Average (SMA) standing at the crucial support level of 1.2817.

Oscillators such as the Relative Strength Index (RSI) give buyers the upper hand in the short term. However, the RSI remains bearish below its neutral line, putting a lid on GBP/USD upside.

GBP/USD Price Chart – Daily

British Pound PRICE Today

The table below shows the percentage change of British Pound (GBP) against listed major currencies today. British Pound was the strongest against the Japanese Yen.

 USDEURGBPJPYCADAUDNZDCHF
USD -0.28%-0.09%0.40%-0.16%-0.23%0.09%-0.25%
EUR0.28% 0.34%0.77%0.22%0.20%0.48%0.14%
GBP0.09%-0.34% 0.45%-0.11%-0.14%0.14%-0.21%
JPY-0.40%-0.77%-0.45% -0.57%-0.57%-0.26%-0.58%
CAD0.16%-0.22%0.11%0.57% -0.05%0.25%-0.09%
AUD0.23%-0.20%0.14%0.57%0.05% 0.29%-0.05%
NZD-0.09%-0.48%-0.14%0.26%-0.25%-0.29% -0.33%
CHF0.25%-0.14%0.21%0.58%0.09%0.05%0.33% 

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).

Author

Christian Borjon Valencia

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

More from Christian Borjon Valencia
Share:

Editor's Picks

AUD/USD falls to near 0.7100 after slipping below 50-day EMA

AUD/USD depreciates after registering minor gains in the previous day, trading around 0.7120 during the Asian hours. The technical analysis of the daily chart shows the pair consolidating sideways within a rectangle pattern, as neither bulls nor bears gain control. The AUD/USD pair is holding a slight bearish tone however as it sits beneath both the nine-day and 50-day EMAs.

160.00: USD/JPY back near intervention territory after upbeat US jobs report

US Nonfarm Payrolls beat expectations by a wide margin in May, with 172K jobs added. The US Dollar rebounds after the release, helping USD/JPY recover from its intraday lows. Warnings from Japanese authorities continue to limit upside potential near the 160.00 threshold.

Gold weakens to three-month lows near $4,300

Gold faces increasing selling interest and approaches the area of three-month lows near the $4,300 mark per troy ounce on Friday. The precious metal’s decline comes as traders assess the stronger-than-expected NFP, while the bid bias in the Greenback and higher US Treasury yields also collaborate with the retracement.

Cardano hits five-year low even as Hoskinson clarifies "break" isn't an exit

Cardano (ADA) price is down 10% at press time on Friday, extending losses over 30% so far this week amid Charles Hoskinson's clarification that "break" isn't an exit.

Week ahead – Fed countdown begins amid US inflation data and geopolitical risks

Fed Chair Warsh’s first meeting approaches as key US inflation data could reshape expectations. Oil prices remain elevated as US-Iran talks continue; tariffs also return to the spotlight. ECB is expected to hike; will it be a one-off move or is July live?

The US economy defies the rules: 100 days into the Oil shock and the recession signal is still missing

More than three months after the start of the Iran war and the resulting disruption to global energy markets, the US economy continues to display remarkable resilience. The conflict has triggered a sharp rise in Oil prices, reignited inflationary pressures and fueled widespread concerns about a potential economic slowdown.