GBP/USD could attract technical buyers if it breaks above 1.2700

GBP/USD Forecast: Sterling could attract technical buyers if it breaks above 1.2700

After Monday’s sharp decline, GBP/USD recovered slightly on Tuesday. The pair continues to rise towards 1.2700 in the early European session on Wednesday.

U.S. data showed on Tuesday that JOLTS job vacancies rose to 7.74 million in October from 7.37 million in September. This reading was above the market expectation of 7.48 million and helped the US Dollar (USD) remain resilient against its peers, thereby limiting the upside potential of GBP/USD. Read more…

GBP/USD Price Prediction: Bearish bias remains unchanged below 1.2700

The GBP/USD pair is trading in positive territory around 1.2690 for the second straight day during the early European session on Wednesday. However, the upside for GBP/USD appears to be limited as expectations of a less aggressive interest rate cut by the US Federal Reserve (Fed) and concerns over US President-elect Donald Trump’s tariff policies could provide some support to the greenback. Investors are waiting for Federal Reserve Chairman Jerome Powell’s speech for clues on the interest rate outlook.

The bearish outlook for GBP/USD remains as the major pair remains below the key 100-day Exponential Moving Average (EMA) on the daily time frame. Additionally, the 14-day Relative Strength Index (RSI) remains capped below the midline around 45.35, suggesting that further downside cannot be ruled out. Read more…