GBP/USD: 1.3044 as key support
July 18, 2023 5:22 pmVideo
Latest News
- Analysis for GBP/USD on April 16th. The pound should not count on support from Powell April 16, 2024
- Analysis for EUR/USD on April 16th. The southern trend has been put on pause for correction April 16, 2024
- USD/JPY: Simple trading tips for novice traders on April 16th (US session) April 16, 2024
- GBP/USD: Simple trading tips for novice traders on April 16th (US session) April 16, 2024
- Trading Signals for GBP/USD for April 16-18, 2024: buy above 1.2405 or 1.2450 (21 SMA – 0/8 Murray) April 16, 2024
- EUR/USD: Simple trading tips for novice traders on April 16th (US session) April 16, 2024
- AUD/USD: Australian dollar remains under pressure April 16, 2024
- GBP/USD: trading plan for the US session on April 16th (analysis of morning deals). The pound was quickly bought back around April 16, 2024
- Trading Signals for BITCOIN (BTC/USD) for April 16-18, 2024: buy above $62,500 (4/8 Murray – 21 SMA) April 16, 2024
- Technical Analysis – USDCAD blossoms ahead of central bank speeches April 16, 2024
- EUR/USD: trading plan for the US session on April 16th (analysis of morning deals). Fewer people are willing to sell euro April 16, 2024
- EUR/USD. April 16th. Bears continue to advance against the backdrop of strong US statistics April 16, 2024
- Euro, sterling extend weakness April 16, 2024
- GBP/USD. April 16th. British statistics didn’t capture traders’ attention April 16, 2024
- Technical Analysis – EURCHF ticks up after strong losses April 16, 2024
- Technical Analysis – JP 225 index tests crucial support zone April 16, 2024
- Market Comment – Stocks slide, dollar soars as rate cut bets take another hit April 16, 2024
- Forex forecast 04/16/2024: EUR/USD, USDX, Gold and SP500 from Sebastian Seliga April 16, 2024
- GBP/USD: trading tips for beginners for European session on April 16 April 16, 2024
- EUR/USD: trading tips for beginners for European session on April 16 April 16, 2024
The GBP/USD pair is trading in the red at 1.3054 at the time of writing. The price action signaled exhausted buyers but a larger correction is far from being confirmed. Despite poor economic data, the Dollar Index is fighting hard to rebound. DXY’s bounce back should force the USD to appreciate versus its rivals.
Fundamentally, the US Retail Sales reported a 0.2% growth versus 0.5% growth expected, while Core Retail Sales increased only by 0.2%, less versus the 0.4% growth forecasted. Furthermore, Capacity Utilization Rate came in at 78.9% versus 79.5% expected, while Industrial Production dropped by 0.5% even if the traders expected a 0.0% growth.
Tomorrow, the UK CPI is expected at 8.2% versus 8.7% in the previous reporting period. Lower inflation could weaken the Pound.
GBP/USD Overbought Signs!
As you can see on the H1 chart, the rate failed to reach and retest the 1.3140 static resistance and now it has dropped below the median line (ml) which represents a dynamic support.
Now, it challenges the 1.3044 former low. This stands as a critical downside obstacle. Stabilizing below the median line (ml) may announce a larger correction.
GBP/USD Outlook!
Dropping and closing below 1.3044 activates more declines and is seen as a selling signal.
The material has been provided by InstaForex Company – www.instaforex.com
Related Posts: