GBP/USD Forecast: Pound approaches key resistance amid persistent dollar weakness

GBP/USD has reached its highest level since late October at 1.3750 on Thursday but erased a large portion of its daily gains before closing flat near 1.3700. The pair is edging closer to 1.3750 early Friday and additional gains could be witnessed if this level turns into support.

The data published by the UK's Office for National Statistics revealed on Friday that the economic activity in November expanded by 0.9%, compared to the market expectation of 0.2%. On a negative note, Industrial Production increased by only 0.1% on a yearly basis, falling short of analysts' estimate of 0.5%. Read more...

GBPUSD

GBP/USD analysis: Trades sideways

The GBP/USD currency exchange rate has been trading between the 1.3700 and 1.3750 levels since the US CPI surge. Most recently, on Friday the rate was approached by the 50-hour simple moving average. Meanwhile, the pair almost in all cases ignored the support of the weekly R2 simple pivot point at 1.3709.

If the currency exchange rate starts a surge, it would have to pass the 1.3750 mark, before aiming at the 1.3800 mark. Above the 1.3800 level, the weekly R3 simple pivot point could act as resistance at 1.3820. Read more...

GBPUSD

GBP/USD fails to break above 200DMA in 1.3730s despite solid UK GDP figures, back to consolidation ahead of US data

A much stronger than expected UK GDP growth rate in November and a promising rebound in manufacturing activity in the same month has not been enough to propel GBP/USD above its 200-day moving average at 1.3737. Indeed, having failed to break above the key level, the pair has since fallen back into the 1.3710s, though is still trading with very modest on-the-day gains of about 0.1%. Perhaps it is the fact that the UK GDP growth is expected to go into reverse in December and January amid the disruptive impact of the rapid spread of Omicron that has prevented sterling from benefitting from Friday’s strong data. Perhaps it is the fact that, with the pair trading higher by about 1.0% on the week and on course for a fourth consecutive week of gains, during which time it has rallied more than 4.0% from under 1.3200, GBP/USD looks overbought that is holding it back from further gains. Read more...

GBP/USD

Overview
Today last price 1.3706
Today Daily Change 0.0003
Today Daily Change % 0.02
Today daily open 1.3703
 
Trends
Daily SMA20 1.348
Daily SMA50 1.3402
Daily SMA100 1.3554
Daily SMA200 1.3737
 
Levels
Previous Daily High 1.3749
Previous Daily Low 1.3701
Previous Weekly High 1.3599
Previous Weekly Low 1.3431
Previous Monthly High 1.355
Previous Monthly Low 1.3161
Daily Fibonacci 38.2% 1.3719
Daily Fibonacci 61.8% 1.373
Daily Pivot Point S1 1.3686
Daily Pivot Point S2 1.3669
Daily Pivot Point S3 1.3638
Daily Pivot Point R1 1.3735
Daily Pivot Point R2 1.3766
Daily Pivot Point R3 1.3783

 

 

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