Pound Sterling Price News and Forecast GBP/USD: US inflation and UK virus data hold the key

FXStreet Team FXStreet

GBP/USD Forecast: To 1.40 or 1.42? All eyes on US Nonfarm Payrolls

Sterling has succumbed to data and Fed-related dollar strength. Nonfarm Payrolls and also worries about the Delta variant are set to move the currency pair. Friday's four-hour chart is showing that cable is at crossroads. Down but not out – that is probably the feeling of GBP/USD bulls after Thursday's blows. The greenback staged a comeback after a trio of US figures beat estimates and as the Federal Reserve seems to be more open to at least talking about tapering its bond buys. Read more...

GBP/USD Weekly Forecast: How low can it go? US inflation and UK virus data hold the key

GBP/USD has whipsawed by US data and concerns about Britain's reopening. US inflation data, Fed speculation and UK virus headlines are eyed now. Early June's daily chart shows that bulls remain in the lead. The FX Poll is pointing to steady trading down the road. Taper tantrum – this fear of tightening from the Federal Reserve has been supporting the dollar and overwhelming markets, at least until jobs data missed estimates. Evidence of inflation is set to be crucial to the next GBP/USD moves, alongside ongoing speculation about Britain's reopening. Read more...

GBP/USD fails to recover 1.4200, holds onto important daily gains

Cable rebounds further, finds resistance at the 1.4200 area. Pound also faces resistance against the euro and losses momentum. The GBP/USD rose further during the American session and peaked at 1.4200. Like Thursday, it was unable to break the 1.4200 area and pulled back. The retracement found support at 1.4165 and the pair is about to end the week flat hovering around 1.4160/70. Read more...

GBP/USD

Overview
Today last price	1.4166
Today Daily Change	0.0059
Today Daily Change %	0.42
Today daily open	1.4107

Trends
Daily SMA20	1.4135
Daily SMA50	1.3958
Daily SMA100	1.3894
Daily SMA200	1.3548

Levels
Previous Daily High	1.4203
Previous Daily Low	1.4087
Previous Weekly High	1.4219
Previous Weekly Low	1.4092
Previous Monthly High	1.4234
Previous Monthly Low	1.3801
Daily Fibonacci 38.2%	1.4131
Daily Fibonacci 61.8%	1.4159
Daily Pivot Point S1	1.4061
Daily Pivot Point S2	1.4016
Daily Pivot Point S3	1.3945
Daily Pivot Point R1	1.4178
Daily Pivot Point R2	1.4248
Daily Pivot Point R3	1.4294

Author

FXStreet Team

FXStreet

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

AUD/USD flatlines near 0.6965 as less hawkish RBA counters USD weakness

AUD/USD holds steady above a two-week low, trading near 0.6965 in the Asian session on Wednesday as early midterm election results heighten political uncertainty and weigh heavily on the US Dollar. Moreover, reviving safe-haven demand triggers a fresh leg down in US bond yields, offsetting Fed hike bets and exerting additional pressure on the buck. However, a less hawkish RBA caps the Aussie.

USD/JPY declines below 158.00 as USD weakens on midterm election results

USD/JPY comes under heavy selling pressure on Wednesday, dropping below 158.00 during the Asian session as the US Dollar slumps to a one-month low amid heightened political uncertainty after early US midterm vote counts. Moreover, the prospect of gridlock in Washington drives safe-haven flows, triggering a fresh leg down in US bond yields and further weighing on the buck.

Gold continues scaling new weekly highs; eyes $4,050 as US sticks to elections-led losses

Gold builds on its strong intraday move up, hitting a series of new weekly tops, and climbing back close to the $4,050 level during the first half of the European session amid a broadly weaker US Dollar. Democrats’ wins in the House and Senate raise the prospect of gridlock in Washington. Moreover, heightened political uncertainty drove investors to safe-haven assets, exerting some downward pressure on US bond yields. This is seen weighing on the Greenback and supporting the precious metal.

Bitcoin tests critical support, Ethereum struggles below resistance, XRP extends losses

Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) remain under pressure on Wednesday as bearish momentum continues to weigh on prices. BTC approaches key support around $76,466, and a decisive close below could open the door to deeper losses. Meanwhile, ETH struggles below key resistance while XRP faces rejection at the upper trendline of a falling channel pattern, all hinting at deeper losses.

ADP Employment Report expected to show slower job growth in October

The Automatic Data Processing Research Institute is due to release October’s private-sector employment report on Wednesday. The market consensus anticipates a moderate slowdown in job creation, with the ADP Employment Change expected to show 69K new private jobs in October, down from 90K in September.

The 2% inflation target came from a throwaway remark. It now moves trillions

The Federal Reserve's 2% inflation goal grew out of an off-the-cuff remark by a New Zealand politician in 1988. Bond investors still price long-term US debt as if 2% holds, so a change in how the Fed measures inflation would move markets.