GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

- GBP/USD remains bearish below the $1.24525 pivot level.

- Immediate resistance at $1.24911; breakout needed for bullish reversal.

- Support at $1.23972; a break below could extend losses toward $1.23340.

GBP/USD is trading at $1.24440, struggling to hold ground as bearish sentiment prevails. The pair has dipped below its pivot point at $1.24525, signaling potential downside movement.

The strength of the U.S. dollar, driven by the Federal Reserve’s hawkish outlook and resilient economic data, continues to weigh on the British pound.

From a technical perspective, the 50-day EMA at $1.24194 is providing dynamic support, but if breached, it could accelerate losses. Immediate resistance is seen at $1.24911, and a break above this level may push GBP/USD toward the next targets at $1.25420 and $1.25987. However, with sellers maintaining control, any short-term gains could be met with resistance.

On the downside, $1.23972 is the first key support level. A sustained move below this level could deepen losses toward $1.23340, with the next major support resting at $1.22743.

Given the current trend, traders may consider sell positions below $1.24521, aiming for a take profit at $1.23843 while placing a stop loss at $1.24913 to manage risk.

Looking ahead, traders will monitor upcoming U.S. inflation figures which may further influence market sentiment, determining whether the dollar continues its dominance or retreats, giving GBP/USD a potential lift.

GBP/USD - Trade Ideas

Entry Price – Sell Below 1.24521

Take Profit – 1.23843

Stop Loss – 1.24913

Risk to Reward – 1:1.7

Profit & Loss Per Standard Lot = +$678/ -$392

Profit & Loss Per Mini Lot = +$67/ -$39