Pound Sterling Price News and Forecast: GBP/USD may target the immediate resistance at the five-month high

FXStreet Team FXStreet

GBP/USD Price Forecast: Holds position above 1.3000 near five-month highs

The GBP/USD pair remains in positive territory for the fourth successive session, trading around 1.3010 during the Asian hours on Thursday. Technical analysis of the daily chart indicates a continued bullish bias, with the pair moving upwards within an ascending channel pattern.

The 14-day Relative Strength Index (RSI) is slightly above 70, signaling strong bullish momentum but also suggesting that the GBP/USD pair is overbought, potentially leading to a downward correction. Read more...

GBP/USD remains attached to 1.3000 after Fed rate hold

GBP/USD remained pinned to recent highs near the 1.3000 handle on Wednesday, with market sentiment bolstered into the high side after the Federal Reserve (Fed) held steady on its plans to deliver more rate cuts in 2025, albeit later in the year. Rate markets are still pricing in another quarter-point cut from the Fed at the US central bank’s June meeting, and Fed Chair Jerome Powell reiterated that the Fed still strong growth and a healthy labor market underpinning the US economy.

However, not all is rosy in the Fed’s outlook: Fed policymakers have trimmed their growth outlook for the year, with US Gross Domestic Product (GDP) growth to slow to just 1.7% through 2025, several points below December’s forecast of 2.1%. Fed Chair Powell also nodded a head at downside risks at the hands of the Trump administration’s trade policies, however the Fed thus far continues to bet that inflationary effects from global tariff-fueled trade wars will be mild and temporary. Read more...

Author

FXStreet Team

FXStreet

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD bounces toward 1.1750 as US Dollar loses strength

EUR/USD returned to the 1.1750 price zone in the American session on Friday, despite falling Wall Street, which indicates risk aversion. Trading conditions remain thin following the New Year holiday and ahead of the weekend, with the focus shifting to US employment and European data scheduled for next week.

GBP/USD nears 1.3500, holds within familiar levels

After testing 1.3400 on the last day of 2025, GBP/USD managed to stage a rebound. Nevertheless, the pair finds it difficult to gather momentum and trades with modest intraday gains at around 1.3490 as market participants remain in holiday mood.

Gold trims intraday gains, approaches $4,300

Gold retreated sharply from the $4,400 area and trades flat for the day in the $4,320 price zone. Choppy trading conditions exacerbated the intraday decline, although XAU/USD bearish case is out of the picture, considering growing expectations for a dovish Fed and persistent geopolitical tensions.

Breaking: US Trump strikes Venezuela, claims President Maduro was captured and flown out of the country

United States (US) President Donald Trump has fulfilled his threats and finally struck Venezuela. Different media reports that explosions in Caracas began around 1:50 am local time on Saturday, leaving multiple areas of the city without power.

Economic outlook 2026-2027 in advanced countries: Solidity test

After a year marked by global economic resilience and ending on a note of optimism, 2026 looks promising and could be a year of solid economic performance. In our baseline scenario, we expect most of the supportive factors at work in 2025 to continue to play a role in 2026.

Crypto market outlook for 2026

Year 2025 was volatile, as crypto often is. Among positive catalysts were favourable regulatory changes in the U.S., rise of Digital Asset Treasuries (DAT), adoption of AI and tokenization of Real-World-Assets (RWA).