- Analytics
- News and Tools
- Market News
- GBP/USD Price Analysis: Struggles at 200-DMA, retreats toward 1.2500
GBP/USD Price Analysis: Struggles at 200-DMA, retreats toward 1.2500
- GBP/USD erased its earlier gains as buyers failed to reclaim 200-DMA.
- Deterioration in the US economy spurred flows to USD amid its safe-haven appeal.
- Momentum remains bearish, as RSI stays below 50, key resistance lie above spot price.
The Pound Sterling weakened against the US Dollar on Friday, even though economic data from the UK was better than expected. Fears that the US economy may slow more sharply than expected as consumer sentiment deteriorates. The GBP/USD trades at 1.2510, down 0.10%.
GBP/USD Price Analysis: Technical outlook
From a technical standpoint, the GBP/USD retracement toward 1.2500 keeps sellers hopeful of lower spot prices. Buying momentum is fading as buyers failed to crack the 200-day moving average (DMA) at 1.2541. That and the Relative Strength Index (RSI) remaining bearish could pave the way for further losses.
For a bearish continuation, sellers must conquer the May 9 low of 1.2445. Once cleared, it would emerge the psychological 1.2400 level, followed by the year-to-date (YTD) low of 1.2299.
On the flip side, if buyers hold GBP/USD’s exchange rate above 1.2500, they could test the 200-DMA, followed by the 50-DMA at 1.2594. the next resistance would be the 100-DMA at 1.2635.
GBP/USD Price Action – Daily Chart
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
