GBP/USD stays below 1.2400 in a slow start to the week

The United Kingdom will release relevant macroeconomic figures next Thursday.
The American Dollar is rising on the back of a dismal market mood.
GBP/USD is under selling pressure and could fall towards 1.2273.

FXStreet Team FXStreet

GBP/USD bounced modestly from an intraday low of 1.2343, now changing hands at around 1.2380. The pair edged sharply lower ahead of the US opening, despite the Eurozone and the United Kingdom celebrating Easter Monday, which kept local markets closed.

Wall Street, on the other hand, normally operated with US indexes trading mixed around their opening levels. The Dow Jones Industrial Average is up 0.14%, while the S&P 500 and the Nasdaq Composite remain in the red. Treasury yields, on the other hand, ticked north, with the 10-year note currently offering 3.41% and the 2-year note 4.0%.

The US Dollar advanced amid a dismal market mood, as market players are once again focused on a potential recession in the United States, following aggressive monetary tightening from the Federal Reserve (Fed) and the banking crisis that started last month.

The British Pound may find firmer directional strength on Thursday when the UK will release updates on the Gross Domestic Product, Industrial and Manufacturing Production, and the Trade Balance.

Technical Outlook

The GBP/USD pair is posting lower lows on a daily basis, in line with a bearish extension in the upcoming sessions, moreover, if the aforementioned daily low is infringed. The pair may then slide towards 1.2273, April 3 daily low, en route to 1.2189, March 24 low. Immediate resistance could be found in the 1.2440 region, with gains beyond it exposing the multi-week high set in early April at 1.2524.

GBP/USD

Overview
Today last price	1.2377
Today Daily Change	-0.0041
Today Daily Change %	-0.33
Today daily open	1.2418

Trends
Daily SMA20	1.2293
Daily SMA50	1.2156
Daily SMA100	1.2159
Daily SMA200	1.1902

Levels
Previous Daily High	1.2456
Previous Daily Low	1.2389
Previous Weekly High	1.2525
Previous Weekly Low	1.2275
Previous Monthly High	1.2424
Previous Monthly Low	1.1803
Daily Fibonacci 38.2%	1.2415
Daily Fibonacci 61.8%	1.243
Daily Pivot Point S1	1.2386
Daily Pivot Point S2	1.2354
Daily Pivot Point S3	1.2319
Daily Pivot Point R1	1.2453
Daily Pivot Point R2	1.2488
Daily Pivot Point R3	1.252

Author

FXStreet Team

FXStreet

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