Pound Sterling Price News and Forecast: GBP/USD eases from weekly highs above 1.3700

FXStreet Team FXStreet

GBP/USD eases from weekly highs above 1.3700 ahead of the NFP

The Pound (GBP) has retraced losses against the US Dollar (USD) on Wednesday, but failed to find acceptance at weekly highs above 1.3700 and has pulled back to the 1.3680 area at the time of writing. A weaker USD following Tuesday’s downbeat US economic releases is offsetting the negative impact on the GBP from the UK's political crisis.

Investors, however, remain cautious about placing USD directional bets ahead of the delayed Nonfarm Payrolls report, due later today. Market consensus anticipates a net job growth of 70K in January from 50K in December, with the Unemployment rate steady at 4.4% and wage growth slowing down to a 3.6% yearly growth from 3.8% in December. Read more...

GBP/USD Price Forecast: Remains above nine-day EMA near 1.3650

GBP/USD recovers its recent losses from the previous session, trading around 1.3680 during the European hours on Wednesday. The technical analysis of the daily chart indicates a sustained bullish bias, as the pair trades within an ascending channel pattern.

The 14-day Relative Strength Index (RSI), a momentum indicator, at 55.94 sits above the 50 mid-line, confirming steady bullish momentum without overbought stress. The nine-day Exponential Moving Average (EMA) rises above the 50-day EMA at 1.3518, keeping the near-term bias positive as price holds above both gauges. The 50-day EMA trends higher, underlining an improving medium-term backdrop. Read more...

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