GBP/USD price Forecast: Rally halts near 61.8% Fibo retracement at 1.3600
The GBP/USD pair trades 0.1% lower to near 1.3545 during the European trading session on Thursday, struggling to extend the rally above the 1.3600 hurdle. The Cable faces slight selling pressure as the US Dollar (USD) turns positive after recovering early losses, despite market sentiment remaining risk-on.
At press time, S&P 500 futures trade 0.2% higher around 7,070, reflecting an upbeat market mood. The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, trades 0.15% higher to near 98.20. Read more…
GBP/USD modestly up after GDP beat
GBP/USD tip-toed to a seven-week high of 1.3593 following stronger-than-expected UK GDP data for February, which showed a 0.5% m/m expansion versus forecasts of 0.1% and January’s flat reading. Despite the positive surprise, the reaction in the pair remained limited probably because the data did not capture the potential impact of the Iran war. Meanwhile, there was also a muted response to President Trump’s comments that the conflict with Tehran could end soon.
Nevertheless, the bulls continue to defend the 1.3550 region, maintaining a constructive outlook and keeping the focus on a potential move toward the 1.3665–1.3700 resistance zone. The pair has already advanced around 3.3% over the past two weeks, and sustained upside momentum could pave the way toward January’s 4½-year high of 1.3868. Read more…
GBP/USD outlook: Bulls pause for consolidation after uninterrupted seven-day rally
Cable edged lower on Thursday, as bulls take a breather after strong rally in past two days (part of larger seven-day rally) that hit two-month high (1.3589) on Tuesday and probed above the top of thickening daily Ichimoku cloud (1.3561).
Overbought daily studies contributed to a partial profit-taking, with dips expected to be limited (ideally to be contained at 1.3500 zone, consisting of broken 50% retracement of 1.3869/1.3159 descend / Tuesday’s low and deeper pullback to find ground above daily cloud base at 1.3450) to provide better levels to re-enter bullish market. Read more…
