Pound Sterling Price News and Forecast: GBP/USD rally could lose steam after UK inflation [Video]

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GBP/USD Forecast: Pound Sterling rally could lose steam after UK inflation data

GBP/USD stretched higher and touched its strongest level since early October above 1.3290 in the early European session on Wednesday. The pair corrects lower after latest UK data but remains in positive territory, while the near-term technical outlook continues to highlight overbought conditions.

The UK's Office for National Statistics (ONS) reported on Wednesday that annual inflation, as measured by the change in the Consumer Price Index (CPI), softened to 2.6% in March from 2.8% in February. This reading came in below the market expectation of 2.7% and made it difficult for GBP/USD to gather further bullish momentum. On a monthly basis, the CPI rose 0.3% following the 0.4% increase recorded previously. Read more...

GBP/USD has resumed its upward move [Video]

GBP/USD has recently broken above its April 3, 2025 peak of 1.3207, which we identified as wave (1) in the chart. This breakout signals a bullish trend starting from the January 13, 2025 low of 1.2705, suggesting more upward movement ahead. The rally from this low follows a five-wave Elliott Wave pattern. This is a common structure in technical analysis indicating a strong trend. Read more...

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EUR/USD deflates to fresh lows, targets 1.1600

The selling pressure on EUR/USD now gathers extra pace, prompting the pair to hit fresh multi-week lows in the 1.1625-1.1620 band on Friday. The continuation of the downward bias comes in response to further gains in the US Dollar as market participants continue to assess the mixed release of US Nonfarm Payrolls in December.

GBP/USD breaks below 1.3400, challenges the 200-day SMA

GBP/USD remains under heavy fire and retreats for the fourth consecutive day on Friday. Indeed, Cable suffers the strong performance of the Greenback, intensified post-mixed NFP, and trades at shouting distance from its critical 200-day SMA near 1.3380.

Gold flirts with yearly tops around $4,500

Gold keeps its positive bias on Friday, adding to Thursday’s advance and challenging yearly highs in the $4,500 region per troy ounce. The risk-off sentiment favours the yellow metal despite the firmer tone in the Greenback and rising US Treasury yields.