Pound Sterling Price News and Forecast: GBP/USD correction's life-line jeopardized by US NFP beat

FXStreet Team FXStreet

GBP/USD analysis: Reaches September low levels

On Friday morning, the GBP/USD currency pair reached the zone of the September and October low levels at 1.3413/1.3433.

A passing of the support zone at 1.3413/1.3433 would leave the pair with no close-by technical support on the hourly candle chart. The pair could look for support in round exchange rate levels as the 1.3400 and 1.3350. However, take into account that at the start of next week new weekly pivot points will impact the pair. Namely, support levels could be placed in the range from 1.3400 to 1.3350. Read more...

GBP/USD's correction's life-line jeopardized by US NFP beat

US September Nonfarm Payrolls arrived as +531K vs. the expected +425K and weigh on cable. GBP/USD has been on the back foot ever since the Bank of England disappointed markets with a surprise hold and today's Nonfarm Payrolls have potentially hammered the nail in the proverbial coffin. On the release of the numbers, GBP/USD is slightly offered, down some 0.40% on the day so far, traveling from a high of 1.3509 to a low of 1.3424.

Prior to today's jobs data, Initial Claims came in at 269k vs. 275k and a revised 283k (was 281k) the previous week, while continuing claims came in at 2.105 mln vs. 2.150 mln and a revised 2.239 mln (was 2.243 mln) the previous week. Read more...

GBP/USD: Strength of BoE pushback against higher rates hits the pound – MUFG

The pound has continued to trade at weaker levels following yesterday’s dovish Bank of England (BoE) policy surprise which triggered a sharp repricing of rate hike expectations for the coming years. Economists at MUFG Bank expect the GBP to suffer further downside motion if the “Old Lady” fails to respond to higher inflation.

“On balance, we expect that the BoE will feel comfortable to raise rates as soon as at their next policy meeting in December although there is a risk it waits a little longer until February.” Read more...

GBP/USD

Overview
Today last price	1.3446
Today Daily Change	-0.0052
Today Daily Change %	-0.39
Today daily open	1.3498

Trends
Daily SMA20	1.3699
Daily SMA50	1.3706
Daily SMA100	1.3764
Daily SMA200	1.385

Levels
Previous Daily High	1.3698
Previous Daily Low	1.3471
Previous Weekly High	1.3829
Previous Weekly Low	1.3668
Previous Monthly High	1.3834
Previous Monthly Low	1.3434
Daily Fibonacci 38.2%	1.3558
Daily Fibonacci 61.8%	1.3611
Daily Pivot Point S1	1.3414
Daily Pivot Point S2	1.3329
Daily Pivot Point S3	1.3187
Daily Pivot Point R1	1.364
Daily Pivot Point R2	1.3782
Daily Pivot Point R3	1.3867

Author

FXStreet Team

FXStreet

EUR/USD weakens below 1.1700 as Middle East tensions drive US Dollar strength

The EUR/USD pair trades with mild losses around 1.1685, the lowest since late January, during the early Asian session on Tuesday. The US Dollar gathers strength against the Euro as escalating tensions in the Middle East boost safe-haven currencies. The preliminary reading of the Harmonized Index of Consumer Prices from the Eurozone will be published later on Tuesday.

GBP/USD hits new yearly lows near 1.3300

GBP/USD adds to the recent bearish tone, approaching to the key 1.3300 support to reach fresh YTD troughs against the backdrop of the robust performance of the US Dollar. Indeed, Cable’s decline comes amid the firm demand for the safe-haven space in the wake of the US and Israel attacks to Iran.

Gold defends bids as US-Iran war continues to fuel safe-haven flows

Gold retains positive bias for the fifth consecutive day on Tuesday as rising geopolitical tensions in the Middle East continue to underpin safe-haven assets. However, a bullish US Dollar keeps the bullion below its highest level since late January, set on Monday, warranting caution before positioning for any further appreciation.