GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Bullish above $1.25793 – Targeting $1.26303, with a stop-loss at $1.25488.
- Resistance at $1.26310 – A breakout could push GBP/USD toward $1.26667 and $1.27037.
- Support at $1.25498 – A drop below this level may trigger further downside toward $1.25104 and $1.24765.
GBP/USD is hovering around $1.25960, showing signs of consolidation after a recent pullback. The pair is trading just above its pivot point at $1.25795, which serves as a critical level for determining near-term direction.
Immediate resistance stands at $1.26310, and a breakout above this level could drive bullish momentum toward the next resistance zones at $1.26667 and $1.27037.
On the downside, immediate support is seen at $1.25498, followed by key levels at $1.25104 and $1.24765. A failure to hold above $1.25498 could accelerate selling pressure, potentially triggering a deeper correction.
The 50-day EMA at $1.24956 suggests that the broader trend remains supported, as the moving average aligns closely with key support levels. If buyers maintain control above the $1.25793 entry point, a move toward $1.26303 appears likely, making it a strategic buy opportunity with a stop loss at $1.25488.
From a technical perspective, GBP/USD is positioned for a potential breakout if it maintains strength above the pivot point of $1.25795.
GBP/USD - Trade Ideas
Entry Price – Buy Above 1.25793
Take Profit – 1.26303
Stop Loss – 1.25488
Risk to Reward – 1: 1.6
Profit & Loss Per Standard Lot = +$510/ -$305
Profit & Loss Per Mini Lot = +$51/ -$30
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
GBP/USD Price Analysis – Feb 12, 2025
Daily Price Outlook
GBP/USD – Technical Analysis
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.
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GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- GBP/USD faces resistance at $1.24290, with the 50-day EMA limiting upside momentum.
- A breakout above $1.24599 could spark a rally toward $1.25374 and beyond.
- Failure to hold $1.23668 may trigger a bearish move toward $1.23048 and $1.22507.
The GBP/USD pair is trading at $1.24049, down 0.02%, as the market consolidates following recent fluctuations. The 50-day Exponential Moving Average (EMA) at $1.24290 is acting as a resistance level, restricting bullish momentum while the pair struggles to maintain its footing above the pivot point at $1.23668.
With the U.S. dollar showing strength amid shifting macroeconomic conditions, GBP/USD remains vulnerable to further downside pressure.
The pivot point at $1.23668 is a crucial marker for trend direction. Holding above this level keeps the bullish bias intact, with immediate resistance at $1.24599, followed by $1.25374 and $1.25987.
A decisive break above these levels could open the door for a sustained upward move, particularly if market sentiment shifts in favor of the British pound.
On the downside, immediate support is seen at $1.23048, with further weakness potentially extending declines toward $1.22507 and $1.21903.
A failure to defend these levels could accelerate selling pressure, leading to deeper losses. However, a successful hold above $1.23668 may attract buyers, positioning GBP/USD for a possible rebound.
Traders considering a long position should look for entries above $1.23676, targeting $1.24422, with a stop loss at $1.23225 to manage risk effectively. If GBP/USD fails to sustain above the pivot, sellers may take control, driving the pair lower in the short term.
GBP/USD - Trade Ideas
Entry Price – Buy Above 1.23676
Take Profit – 1.24422
Stop Loss – 1.23225
Risk to Reward – 1:1.6
Profit & Loss Per Standard Lot = +$746/ -$451
Profit & Loss Per Mini Lot = +$74/ -$45
GBP/USD Price Analysis – Feb 10, 2025
Daily Price Outlook
During the European trading session, the GBP/USD currency pair sustained its bullish trend and remained higher around the 1.2419 level, hitting an intra-day high of 1.2422.
However, the reason for this upward trend can be attributed to the strong performance of the British Pound, which gained traction despite the bullish US Dollar.
Normally, a stronger US Dollar puts pressure on GBP/USD, but this time, the Pound showed resilience and even outperformed many other major currencies.
This strength in the Pound comes as investors digest the Bank of England’s (BoE) recent policy stance. The BoE has adopted a more cautious or “dovish” approach, signaling that interest rate cuts could come sooner than expected. At the same time, the central bank lowered its economic growth forecasts for the year.
Despite this, the Pound continues to hold strong, possibly because the market had already priced in these concerns, and investors are now focusing on other factors influencing GBP’s movement.
BoE’s Cautious Stance and Economic Outlook Impact on GBP/USD
On the BoE front, the Pound Sterling has been performing well against its major peers as investors focus on the Bank of England’s (BoE) recent stance. Last week, the BoE lowered interest rates by 0.25% to 4.5%.
BoE Governor Andrew Bailey mentioned that the outlook for monetary policy would be "gradual and cautious," with expectations that inflation in the UK could rise to 3.7% in the third quarter due to higher energy prices, before returning to the target of 2%.
Despite this, investors were surprised by a vote from BoE member Catherine Mann, who called for a larger 0.5% rate cut, signaling a more dovish stance on policy. This shift in tone raised concerns about the UK’s economic outlook, especially as the BoE also reduced its GDP growth forecast for the year to just 0.75%.
Besides this, the comments from BoE Chief Economist Huw Pill emphasized strong wage growth as a reason for caution in cutting rates further. He noted that wages increased by 5.6% in the three months ending November, the highest since June 2024.
Therefore, the BoE’s cautious stance and reduced GDP forecasts create uncertainty, limiting GBP/USD gains. However, strong wage growth supports the Pound. If Andrew Bailey signals further rate cuts in his speech, GBP/USD could weaken, but any hawkish tone may boost the pair.
GBP/USD – Technical Analysis
The GBP/USD pair is trading at $1.24049, down 0.02%, as the market consolidates following recent fluctuations. The 50-day Exponential Moving Average (EMA) at $1.24290 is acting as a resistance level, restricting bullish momentum while the pair struggles to maintain its footing above the pivot point at $1.23668.
With the U.S. dollar showing strength amid shifting macroeconomic conditions, GBP/USD remains vulnerable to further downside pressure.
The pivot point at $1.23668 is a crucial marker for trend direction. Holding above this level keeps the bullish bias intact, with immediate resistance at $1.24599, followed by $1.25374 and $1.25987.
A decisive break above these levels could open the door for a sustained upward move, particularly if market sentiment shifts in favor of the British pound.
On the downside, immediate support is seen at $1.23048, with further weakness potentially extending declines toward $1.22507 and $1.21903.
A failure to defend these levels could accelerate selling pressure, leading to deeper losses. However, a successful hold above $1.23668 may attract buyers, positioning GBP/USD for a possible rebound.
Traders considering a long position should look for entries above $1.23676, targeting $1.24422, with a stop loss at $1.23225 to manage risk effectively. If GBP/USD fails to sustain above the pivot, sellers may take control, driving the pair lower in the short term.
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GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Bearish Sentiment: GBP/USD struggles below $1.24915, maintaining downward pressure.
- Key Support Levels: Immediate support at $1.24281; break below may target $1.23780.
- Resistance Zones: Watch resistance at $1.25229 and $1.25629, capping potential rebounds.
The GBP/USD pair is trading at $1.24667, down 0.09%, reflecting a cautious bearish sentiment as it struggles below the pivot point at $1.24915. The pair’s inability to maintain momentum above this level suggests sustained selling pressure.
Immediate resistance is noted at $1.25229, with additional barriers at $1.25629 and $1.26212. A break above these resistance levels could signal a potential shift toward a bullish outlook.
On the downside, immediate support is seen at $1.24281. A decisive move below this threshold could accelerate bearish momentum, targeting $1.23780 and potentially $1.23236. The 50-day Exponential Moving Average (EMA) at $1.24131 acts as a dynamic support, reinforcing the bearish bias if breached.
Technical indicators suggest a weak bullish recovery, with sellers maintaining control unless the pair closes firmly above the pivot point of $1.24915. The consistent formation of lower highs and lower lows on the 4-hour chart indicates bearish dominance.
Traders should closely monitor price action around $1.24901. A sustained break below this level offers a selling opportunity, with profit targets near $1.24275. A stop-loss above $1.25232 is recommended to manage potential reversals effectively.
GBP/USD - Trade Ideas
Entry Price – Sell Below 1.24901
Take Profit – 1.24275
Stop Loss – 1.25232
Risk to Reward – 1:1.8
Profit & Loss Per Standard Lot = +$626/ -$331
Profit & Loss Per Mini Lot = +$62/ -$33
GBP/USD Price Analysis – Feb 05, 2025
Daily Price Outlook
During the European trading session, the GBP/USD currency pair has maintained its upward trend and remained well bid around 1.2544, hitting the intra-day high of 1.2544. However, the reason for its upward trend could be attributed to the US Dollar losing some of its strength.
The Dollar weakened after US President Donald Trump decided to delay tariffs on Canada and Mexico. This move helped reduce some of the market’s worries about global trade tensions, making the Dollar less attractive to investors.
As a result, the British Pound gained against the US Dollar. Although the Pound is underperforming against most other currencies, it was able to find support against the Dollar due to the Dollar’s decline.
In addition to this, traders are cautious ahead of the Bank of England's (BoE) decision, which is expected tomorrow. This has added some uncertainty to the market, and investors are closely watching how the BoE will adjust its policy.
GBP Under Pressure Ahead of Bank of England Rate Cut Decision
On the GBP front, the Pound (GBP) has been underperforming compared to most of its major peers, except the US Dollar (USD), as investors become more cautious ahead of the Bank of England’s (BoE) decision on Thursday.
The BoE is expected to cut its key borrowing rate by 25 basis points (bps), lowering it to 4.50%. This would be the third rate cut in the current cycle. However, one BoE member, Catherine Mann, who is known for her hawkish views, might vote to keep the rate at 4.75%.
The main reason for this expected rate cut is that inflation in the UK has slowed down more than expected, especially in the services sector, which is closely watched by the BoE. In December, inflation in services rose by 4.4%, down from 5% in November.
Additionally, December's Retail Sales data showed a significant drop, which has further convinced traders that the BoE will ease its policy to help the economy.
Looking ahead, market participants are betting that the BoE may continue cutting rates by around 56 bps in total throughout the year, beyond this Thursday’s decision.
As a result, the GBP/USD pair is under pressure, as the anticipated rate cuts reduce the appeal of the Pound, while the US Dollar remains strong, holding its ground in the market.
GBP/USD – Technical Analysis
The GBP/USD pair is trading at $1.24667, down 0.09%, reflecting a cautious bearish sentiment as it struggles below the pivot point at $1.24915. The pair’s inability to maintain momentum above this level suggests sustained selling pressure.
Immediate resistance is noted at $1.25229, with additional barriers at $1.25629 and $1.26212. A break above these resistance levels could signal a potential shift toward a bullish outlook.
On the downside, immediate support is seen at $1.24281. A decisive move below this threshold could accelerate bearish momentum, targeting $1.23780 and potentially $1.23236. The 50-day Exponential Moving Average (EMA) at $1.24131 acts as a dynamic support, reinforcing the bearish bias if breached.
Technical indicators suggest a weak bullish recovery, with sellers maintaining control unless the pair closes firmly above the pivot point of $1.24915. The consistent formation of lower highs and lower lows on the 4-hour chart indicates bearish dominance.
Traders should closely monitor price action around $1.24901. A sustained break below this level offers a selling opportunity, with profit targets near $1.24275. A stop-loss above $1.25232 is recommended to manage potential reversals effectively.
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GBP/USD Price Analysis – Feb 03, 2025
Daily Price Outlook
During the first half of the European session on Monday, the GBP/USD currency pair continued its downward trend, dropping to around the 1.2293 level. This decline can be attributed to market concerns triggered by the imposition of tariffs on Canada, Mexico, and China by US President Donald Trump, which spooked global financial markets and prompted investors to seek safer assets.
Moreover, the British Pound showed a mixed performance against its major peers as investors shifted their focus toward the upcoming Bank of England (BoE) monetary policy decision, set to be announced on Thursday.
GBP/USD Focuses on Bank of England's Expected Rate Cut Amid Slowing Inflation and Weak Labor Demand
The Bank of England (BoE) is expected to cut interest rates by 0.25% to 4.50%. Most of the BoE's policymakers (seven out of nine) are likely to agree with this cut. However, two members, including Catherine Mann, who tends to be more cautious, may vote to keep rates the same. This decision comes as the UK shows signs of slowing inflation and weak labor demand, making the BoE consider easing its policy.
The expectation for a rate cut is based on slowing inflation and weak job demand in the UK. The UK's core Consumer Price Index (CPI), which leaves out things like food and energy, dropped to 3.2% in December. Additionally, the labor market saw a small increase of 35,000 new jobs in the three months up to November.
Therefore, the anticipated rate cut by the BoE, driven by slowing inflation and weak job demand, could weaken the GBP, leading to potential downward pressure on the GBP/USD pair in the short term.
US Dollar Strengthens Amid Tariff Concerns and Focus on Labor Market Data
On the US front, the broad-based US Dollar surged as global market sentiment worsened, particularly following US President Donald Trump's decision to impose tariffs on Canada, Mexico, and China.
This move spooked investors, leading them to flock to the safety of the US Dollar. The US Dollar Index (DXY), which measures the Greenback’s strength against six major currencies, climbed above 109.50, its highest level in over two weeks.
Trump’s tariffs included 25% on Canada and Mexico, and 10% on China, citing concerns over illegal immigration and fentanyl. While he also threatened tariffs on Europe, he softened his stance toward the UK, noting a potential deal with Prime Minister Keir Starmer.
Investors are closely watching this week's labor market data to get a sense of how long the Federal Reserve might keep interest rates steady. After last Wednesday’s meeting, Fed Chair Jerome Powell mentioned they’d only change rates if inflation improves or the job market weakens.
On Monday, traders are paying attention to the ISM Manufacturing PMI and the revised S&P Global Manufacturing PMI. The ISM PMI is expected to rise slightly to 49.5, but it’s still below the 50.0 mark, which signals the economy could be slowing down.
Therefore, the US Dollar's strength, driven by global market uncertainty and Trump's tariff decisions, could put pressure on the GBP/USD pair, potentially causing the pound to weaken against the dollar.
GBP/USD – Technical Analysis
The GBP/USD pair is trading at $1.22693, down 0.97%, reflecting sustained bearish momentum as the pair struggles below key technical levels.
The price is currently hovering beneath the pivot point at $1.23076, signaling a potential continuation of the downtrend.
Notably, the 50-day Exponential Moving Average (EMA) at $1.24076 adds further pressure from above, reinforcing the bearish outlook unless a strong reversal occurs.
If sellers maintain control, immediate support is seen at $1.22284. A break below this level could accelerate declines toward $1.21595, with $1.21054 as the next critical support zone.
Conversely, if the pair manages to recover above the pivot point, initial resistance is expected at $1.23877. Surpassing this could open the door for further gains toward $1.24541 and $1.25225, though such moves may face strong selling interest given the broader bearish bias.
The technical structure favors a bearish outlook below $1.23069, with a recommended sell entry at this level. The take-profit target is set at $1.22281 to capture potential downside momentum, while a stop-loss at $1.23565 helps manage risk in case of unexpected reversals. A sustained move above the 50-EMA would be required to shift the bias towards a more bullish scenario.
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GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Bearish bias below $1.23069, with downside targets at $1.22281 and $1.21595.
- Resistance at $1.23877 could cap recovery attempts unless buyers gain strong momentum.
- 50-EMA at $1.24076 reinforces bearish pressure, acting as a key dynamic resistance.
The GBP/USD pair is trading at $1.22693, down 0.97%, reflecting sustained bearish momentum as the pair struggles below key technical levels.
The price is currently hovering beneath the pivot point at $1.23076, signaling a potential continuation of the downtrend.
Notably, the 50-day Exponential Moving Average (EMA) at $1.24076 adds further pressure from above, reinforcing the bearish outlook unless a strong reversal occurs.
If sellers maintain control, immediate support is seen at $1.22284. A break below this level could accelerate declines toward $1.21595, with $1.21054 as the next critical support zone.
Conversely, if the pair manages to recover above the pivot point, initial resistance is expected at $1.23877. Surpassing this could open the door for further gains toward $1.24541 and $1.25225, though such moves may face strong selling interest given the broader bearish bias.
The technical structure favors a bearish outlook below $1.23069, with a recommended sell entry at this level. The take-profit target is set at $1.22281 to capture potential downside momentum, while a stop-loss at $1.23565 helps manage risk in case of unexpected reversals. A sustained move above the 50-EMA would be required to shift the bias towards a more bullish scenario.
GBP/USD - Trade Ideas
Entry Price – Sell Below 1.23069
Take Profit – 1.22281
Stop Loss – 1.23565
Risk to Reward – 1: 1.5
Profit & Loss Per Standard Lot = +$788/ -$496
Profit & Loss Per Mini Lot = +$78/ -$49
GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- GBP/USD holds above the $1.24239 pivot, supporting a bullish outlook.
- Immediate resistance at $1.25064; a breakout could push the pair toward $1.25637.
- 50-day EMA at $1.24238 provides key support, keeping buyers in control.
The GBP/USD pair is extending its gains, trading at $1.24555, up 0.13%, as it tests key technical levels. The pair remains above the pivot point at $1.24239, signaling a potential bullish continuation.
The 50-day EMA at $1.24238 serves as near-term support, reinforcing the upward trend. If buyers maintain control, the next resistance levels stand at $1.25064, followed by $1.25637 and $1.26131.
A sustained move above $1.24232 supports further gains, with a breakout above $1.25064 likely triggering additional upside momentum.
However, failure to hold above the pivot could expose the pair to immediate support at $1.23777, with deeper pullbacks toward $1.23016 and $1.22461 if selling pressure intensifies.
Macroeconomic factors, including U.S. economic data and Bank of England policy expectations, will play a crucial role in shaping the near-term direction.
If the U.S. dollar weakens on dovish Federal Reserve signals, GBP/USD could continue climbing. Conversely, stronger U.S. data could stall the rally.
Traders may consider a buy position above $1.24232, targeting $1.25069, with a stop-loss at $1.23777 to manage downside risks.
GBP/USD - Trade Ideas
Entry Price – Buy Above 1.24232
Take Profit – 1.25069
Stop Loss – 1.23777
Risk to Reward – 1: 1.8
Profit & Loss Per Standard Lot = +$837/ -$455
Profit & Loss Per Mini Lot = +$83/ -$45