On the Daily chart, GBPUSD has been rallying since July 9 until peaking on October 1 and has since been consolidating. The pair has been capped below 1.6259 and supported above 1.5893.
The pair has been back under pressure and is trading in the lower range after falling during the past three days. Today’s UK October CPI will be a key driver.
Today’s forecast is for a print of 2.5%. A number below this would weigh on the pound, and could send GBPUSD towards key support at 1.5893. This is an important level since the market has not been able to break below this low of October 16.
RSI is currently at 43, which has a bearish interpretation. However, since it is still relatively close to the key 50 level that demarcates bearish and bullish territory, the downside momentum is not that strong.
If the key support level holds and cable bounces back up, immediate resistance is at 1.6113. Above this, cable has scope to rise towards key resistance of 1.6259, the October 1 high.
On the Daily chart, GBPUSD has been rallying since July 9 until peaking on October 1 and has since been consolidating. The pair has been capped below 1.6259 and supported above 1.5893.
The pair has been back under pressure and is trading in the lower range after falling during the past three days. Today’s UK October CPI will be a key driver.
Today’s forecast is for a print of 2.5%. A number below this would weigh on the pound, and could send GBPUSD towards key support at 1.5893. This is an important level since the market has not been able to break below this low of October 16.
RSI is currently at 43, which has a bearish interpretation. However, since it is still relatively close to the key 50 level that demarcates bearish and bullish territory, the downside momentum is not that strong.
If the key support level holds and cable bounces back up, immediate resistance is at 1.6113. Above this, cable has scope to rise towards key resistance of 1.6259, the October 1 high.
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