GBP/USD remains on the defensive around 1.2675

GBP/USD Price Forecast: The bearish outlook remains in play below 1.2700

The GBP/USD pair edges lower to near 1.2675, the lowest level since August during the Asian trading hours on Friday. The cautious remarks from the Federal Reserve (Fed) Chair Jerome Powell on Thursday and stronger US economic data boost the US Dollar (USD) broadly and weigh on the major pair. Traders brace for the preliminary UK Gross Domestic Product (GDP) for the third quarter (Q3), which is due later in the day. 

Technically, GBP/USD maintains a bearish outlook on the daily chart, with the major pair holding below the key 100-period Exponential Moving Average (EMA). The path of least resistance is to the downside as the Relative Strength Index (RSI) is located below the midline around 33.50. Read more…

GBP/USD tumbles through 1.27 on Thursday

GBP/USD fell to a fresh 19-week low on Thursday, piercing the 1.2700 handle before finding near-term technical support from 1.2650. The Pound continues to ease with a lack of meaningful faith behind it, while broader markets continue to bolster the Greenback higher across the board.

Producer Price Index (PPI) producer-level inflation figures came in roughly as expected, despite a slight upswing in annualized core PPI numbers. Headline PPI matched forecasts in October, rising 0.2% MoM compared to the previous month’s revised 0.1%. Core PPI for the year ended in October accelerated more than expected, ticking up to 3.1% compared to the expected 3.0% rising above the previous period’s 2.9%, which was also revised slightly higher from 2.8%. Read more…