GBPUSD signals caution as BoE takes spotlight

GBPUSD pulls lower after briefly touching 1.3000 area. Overbought signals reflect weakening bullish pressures. Buying the dip could be considered above the 200-SMA.

XM Group | 31 days ago

GBPUSD made a modest push into the 1.3000 area following the FOMC policy meeting on Wednesday, which kept the door open for rate cuts amid ongoing uncertainty about the US economic outlook.

The Bank of England is next on the calendar today, and the pair is currently trading moderately lower at 1.2964 after UK claimant counts jumped unexpectedly in February. While the central bank is widely expected to hold rates steady, any shifts in its communication tone in response to trade and geopolitical risks could generate fresh volatility.

From a technical perspective, the bulls appear to be losing momentum, as indicated by the RSI and Stochastic oscillator, which have been flattening around overbought levels for the past two weeks. If the price slips below 1.2950, the 20-day simple moving average (SMA) could provide support near 1.2860, while the 200-day SMA and the key support trendline at 1.2730 could prevent a further deterioration in the outlook. If these levels fail to hold, the pair could tumble toward the 50-day SMA at 1.2600.

In the bullish scenario where the pair resumes its upward trajectory, initial resistance could emerge from the ascending trendline at 1.3100. The 2023 high of 1.3140 is also within reach and could act as a barrier before the 1.3265–1.3300 caution zone.

Overall, GBPUSD could face some headwinds in the short term, as technical indicators suggest the recent upward movement may be overextended. However, any declines are unlikely to significantly dent market sentiment unless the price drops below the 200-day SMA and the 1.2730 level.

Regulation: CySEC (Cyprus), ASIC (Australia), FSC (Belize), DFSA (UAE), FSCA (South Africa)

Tags: Analysis GBPUSD

Pound Among the Winners Boosted by US Dollar Weakness and Rate Cut Prospects

The GBP/USD pair climbed for seven consecutive days, reaching 1.3210, before experiencing a slight dip on Thursday. This marks the longest sustained rise for the currency pair since July last year, with the pound’s strength primarily driven by a weakening US dollar.

RoboForex | 3 days ago

ATFX Market Outlook 17th April 2025

U.S. March retail sales saw their most significant increase over two years as households boosted purchases to counter tariff-related price hikes. Despite Federal Reserve Chairman Powell noting a slowdown in economic growth and denying a "Fed put," traders are betting on a potential one-percentage-point rate cut starting in June.

ATFX | 3 days ago

ATFX Market Outlook 16th April 2025

U.S. import prices in March fell unexpectedly due to lower energy costs, signalling easing inflation ahead of Trump's tariff policies. Despite robust bank earnings, U.S. stocks closed slightly lower amid uncertainties surrounding tariffs, with the Dow down 0.38%, the S&P 500 down 0.17%, and the Nasdaq declining.

ATFX | 4 days ago

Continued Trade Tensions Steer Markets: April 15, 2025

Global financial markets are navigating a complex landscape on April 15, 2025, as US President Donald Trump’s tariff exemptions on tech and auto sectors spark a cautious risk-on sentiment, while escalating US-China trade tensions—marked by China’s 125% retaliatory tariffs against the US’s 145% duties—fuel recession fears.

Moneta Markets | 5 days ago

ATFX Market Outlook 15th April 2025

The New York Fed's March survey indicated rising short-term inflation expectations and low consumer confidence. Federal Reserve Governor Waller mentioned that Trump's tariff policies could force rate cuts to prevent a recession despite high inflation.

ATFX | 5 days ago

Weekly Technical Outlook – EUR/USD, GBP/USD, USD/CAD

EUR/USD fights for new higher highs ahead of ECB rate decision. USD/CAD looks fragile as the BoC could face tough debate over rate cuts. GBP/USD extends swift rally, eyes April’s peak as the focus turns to jobs and CPI numbers.

XM Group | 6 days ago

Trade War Tensions Escalate Moneta Markets Daily Market Update: April 14, 2025

Global markets are gripped by volatility as the US-China trade war intensifies, with China raising tariffs on US imports to 125% in retaliation for steep US levies. Softer US inflation data and recession fears are hammering the US Dollar, boosting safe-haven gold and major currencies like the euro and pound.

Moneta Markets | 6 days ago

ATFX Market Outlook 14th April 2025

U.S. stocks surged on Friday as major banks began reporting Q1 earnings, concluding a volatile week marked by trade tensions. All three major indices recorded substantial weekly gains, with the S&P 500 and Dow experiencing their largest rebound since November 2023. However, consumer confidence declined in April to its lowest level in nearly three years, while inflation expectations surged.

ATFX | 6 days ago

EURUSD	1.14769	GBPUSD	1.33568	AUDUSD	0.63915
USDJPY	141.023	USDCAD	1.38163	USDCHF	0.81116