GBP/USD Price Analysis: Poised To Resume Downtrend, Despite ‘Morning Star’ Formation
Image Source: Unsplash
- GBP/USD dips slightly as higher US Treasury yields bolster the US Dollar, following upbeat US data.
- Technical analysis shows GBP/USD at a pivotal point, with the potential to rise toward 1.2500 if it breaks past the April 23 high of 1.2458.
- Key downside risks include a retreat to 1.2400 and possibly further to the April 22 low of 1.2299 if current resistance holds firm.
The Pound Sterling is experiencing slight losses against the US Dollar, largely due to the influence of high US Treasury yields that are bolstering the Greenback. This trend was fueled by the release of economic data, which showed that Durable Goods exceeded expectations, leading to a surge in US yields and a favorable environment for the USD. The GBP/USD is currently trading at 1.2444, reflecting a 0.04% decrease.
GBP/USD Price Analysis: Technical outlook
After forming a ‘morning star,’ the GBP/USD is set to continue to print gains, but traders must decisively clear the April 23 high at 1.2458, which would pave the way toward 1.2500. Up next, the first crucial resistance level would be the 200-day moving average (DMA) at 1.2561, followed by 1.2600.
On the other hand, if GBP/USD remains constrained by the April 23 high, that could pave the way for a retracement to 1.2400. A decisive break would expose the April 22 low at 1.2299, which, once surpassed, could open the door to test an upslope support trendline drawn from March 2023 lows that pass at around 1.2250/60.
GBP/USD Price Action – Daily Chart
GBP/USD
| OVERVIEW | |
|---|---|
| Today last price | 1.2441 |
| Today Daily Change | -0.0008 |
| Today Daily Change % | -0.06 |
| Today daily open | 1.2449 |
| TRENDS | |
|---|---|
| Daily SMA20 | 1.2538 |
| Daily SMA50 | 1.2629 |
| Daily SMA100 | 1.2652 |
| Daily SMA200 | 1.2563 |
| LEVELS | |
|---|---|
| Previous Daily High | 1.2459 |
| Previous Daily Low | 1.2332 |
| Previous Weekly High | 1.2499 |
| Previous Weekly Low | 1.2367 |
| Previous Monthly High | 1.2894 |
| Previous Monthly Low | 1.2575 |
| Daily Fibonacci 38.2% | 1.241 |
| Daily Fibonacci 61.8% | 1.238 |
| Daily Pivot Point S1 | 1.2368 |
| Daily Pivot Point S2 | 1.2287 |
| Daily Pivot Point S3 | 1.2241 |
| Daily Pivot Point R1 | 1.2495 |
| Daily Pivot Point R2 | 1.254 |
| Daily Pivot Point R3 | 1.2621 |
More By This Author:
AUD/USD Rises To Two-Day High Ahead Of Aussie CPIGold Slides As Middle East Tensions Abate, Ahead Of US PCE Data
GBP/JPY Price Analysis: Slumped Below 192.00 Amid Risk-Off Mood
Disclaimer: Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only ...
more
Comments
