GBP/USD Forecast: Sellers to take action with a drop below 1.3560, eyes on UK sanctions
GBP/USD has faced heavy bearish pressure early Tuesday and declined below 1.3600 before staging a rebound in the morning European session. The pair could extend its slide in case sellers manage to drag it below the key 1.3560 support area.
The risk-averse market environment during the Asian trading hours helped the greenback find demand as a safe haven and weighed on GBP/USD. Kremlin announced late Monday that Russia will recognize the breakaway regions of Eastern Ukraine, Donetsk and Luhansk, forcing investors to seek refuge on renewed fears of a military conflict. Read more...
GBP/USD bounces off multi-day low, still in the red below 1.3600 amid modest USD strength
The GBP/USD pair recovered a few pips from the multi-day low touched during the first half of the European session and was last seen trading around the 1.3580 area, down nearly 0.15% for the day.
The pair extended the previous day's modest pullback from the vicinity of the monthly high, around the 1.3640 area and witnessed some follow-through selling on Tuesday. A further escalation in tensions between Russia and Ukraine triggered a fresh wave of the global risk-aversion trade. This drove some haven flows towards the US dollar and turned out to be a key factor that exerted downward pressure on the GBP/USD pair. Read more...
GBP/USD to face additional selling pressure on a dip below 1.3560
GBP/USD has declined below 1.3600. The pair could extend its slide in case sellers manage to drag it below the key 1.3560 support area, FXStreet’s Eren Sengezer reports.
“The risk perception is likely to remain the primary market drive on Tuesday and geopolitical tensions are unlikely to ease unless Russia takes a step back and reaffirms its intention to look for a diplomatic solution.” Read more...
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