Pound Sterling Price News and Forecast: GBP/USD set to plummet to the 1.2850 area

GBP/USD Forecast: Pound stays under bearish pressure despite upbeat UK data

The British pound has met fresh selling pressure early Friday and has slumped to its weakest level since November 2020 near 1.3050. Unless the pair manages to stage a rebound and hold above 1.3100, it is likely to extend its slide toward 1.3000 in the near term.

Earlier in the day, the data published by the UK's Office for National Statistics revealed that the economy grew by 0.8% on a monthly basis in January, compared to the market expectation of 0.2%. Additionally, Industrial Production and Manufacturing Production expanded by 0.7% and 0.8%, respectively, in the same period and both of these prints surpassed analysts' estimates. Read more...

GBP/USD set to plummet to the 1.2850 area – ING

GBP/USD touched its lowest level since November at 1.3071 on Friday before staging a recovery toward 1.31. As markets are too aggressive pricing Bank of England’s (BoE) rate hikes, economists at ING expect cable to plunge towards the 1.2850 mark.

“Most of us think that the six BoE hikes priced by the market for this year are way too aggressive. But until the market is disabused of this notion – and this may not take place next week – GBP can probably hold onto its gains.” Read more...

GBP/USD to extend its slide towards 1.30 as resistance at 1.31 caps

GBP/USD has declined to the weakest level since November 2020 near 1.3050. The pair is likely to stay under bearish pressure as long as 1.3100 resistance holds, FXStreet’s Eren Sengezer reports.

“Unless the pair manages to stage a rebound and hold above 1.3100, it is likely to extend its slide toward 1.3000 in the near-term.”

“On the downside, 1.3000 (psychological level) aligns as the next bearish target but the pair needs to close a four-hour candle below 1.3050 (static level) before stretching lower.” Read more...