GBP/USD Price Analysis: Weakens farther below mid-1.3000s, remains vulnerable

GBP/USD pair faded an intraday spike to levels beyond the 1.3100 handle.
The technical set-up suggests the resumption of the prior bearish trajectory.

Haresh Menghani FXStreet

The GBP/USD pair extended disappointing UK retail sales data-led intraday pullback from levels beyond the 1.3100 handle and dropped to fresh session lows, around the 1.3025 region in the last hour.

The early uptick beyond a confluence resistance – comprising of 200-period SMA on the 4-hourly chart and the top end of a three-week-old ascending trend-channel – turned out to be a false breakout.

The subsequent downfall, which erased the previous session's positive move, now point to the emergence of fresh selling pressure and support prospects for the resumption of the prior bearish trend.

Meanwhile, technical indicators on the daily chart maintained their bearish bias and have again started gaining negative momentum on hourly charts, supporting prospects for a further depreciating move.

Some follow-through selling below the key 1.30 psychological mark will reaffirm the bearish bias and turn the pair vulnerable to accelerate the slide towards weekly lows support near the 1.2955 region.

The momentum could further get extended towards the 1.2900 round-figure mark before the pair eventually drops to test the descending channel support, currently near the 1.2880-75 region.

On the flip side, any attempted recovery might now confront some fresh supply near the 1.3075 region and seems more likely to remain capped near the 1.3100-1.3110 confluence barrier.

GBP/USD 4-hourly chart

GBP/USD

Overview
Today last price	1.304
Today Daily Change	-0.0036
Today Daily Change %	-0.28
Today daily open	1.3076

Trends
Daily SMA20	1.3068
Daily SMA50	1.3031
Daily SMA100	1.2787
Daily SMA200	1.2691

Levels
Previous Daily High	1.3084
Previous Daily Low	1.3025
Previous Weekly High	1.3213
Previous Weekly Low	1.3013
Previous Monthly High	1.3515
Previous Monthly Low	1.2896
Daily Fibonacci 38.2%	1.3061
Daily Fibonacci 61.8%	1.3048
Daily Pivot Point S1	1.3039
Daily Pivot Point S2	1.3003
Daily Pivot Point S3	1.298
Daily Pivot Point R1	1.3098
Daily Pivot Point R2	1.3121
Daily Pivot Point R3	1.3157

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

EUR/USD sticks to positive bias above 1.1800 as trade jitters undermine USD

The EUR/USD pair builds on the previous day's modest gains and attracts some buyers for the second straight day on Thursday amid a softer US Dollar. Spot prices, however, lack bullish conviction and trade around the 1.1815-1.1820 area during the Asian session, up 0.10% for the day.

GBP/USD bounces as soft CPI boosts BoE cut bets

GBP/USD rose 0.42% on Wednesday, recovering toward 1.3600 in a session shaped by softer-than-expected UK inflation data and broad US Dollar weakness. The pair had been consolidating in a tight range between about 1.3450 and 1.3520 for the past few days following the sharp pullback from the late-January high near 1.3870, and Wednesday's move pushed price action back onto the high side of key moving averages.

Gold retains positive bias amid sustained safe-haven demand, softer USD

Gold attracts some buyers for the second straight day as trade jitters and geopolitical tensions ahead of the US-Iran nuclear talks underpin demand for safe-haven assets. Apart from this, a softer US Dollar further supports the bullion, though the underlying bullish sentiment could cap gains. Bulls might also opt to wait for acceptance above the $5,200 mark before positioning for any meaningful appreciating move.

UK financial watchdog advances stablecoin oversight as four firms pilot issuance

The Financial Conduct Authority in the United Kingdom is advancing toward the final stablecoin regulatory framework with a pilot program involving four companies, including Monee, Financial Technologies ReStabilise, Revolut and VVTX.

Nvidia delivers another monster earnings report, and forecasts big things to come

It was another monster earnings report from Nvidia for fiscal Q4. Revenues were $68.1bn, smashing estimates of $65bn. Gross profit margin was a healthy 75%, up from 73.5% in the prior quarter, and the outlook for this quarter was monstrous.

Cosmos Hub Price Forecast: ATOM rebounds slightly, bearish outlook remains intact

Cosmos Hub (ATOM) price rebounds, trading above $2.05 at the time of writing on Wednesday, after undergoing a sharp correction since last week. Weakening on-chain and derivatives data support a bearish outlook, while technical analysis remains unfavorable.