Pound Sterling Price News and Forecast: GBP/USD trades near key support ahead of US data
|GBP/USD Forecast: Pound Sterling trades near key support ahead of US data
GBP/USD failed to make a decisive move in either direction and closed virtually unchanged on Wednesday. As safe-haven flows dominate the financial markets on Thursday, the pair struggles to gain traction and trades slightly below 1.2900.
Investors grow increasingly concerned over a gloomy economic outlook as the People’s Bank of China (PBoC) unexpectedly loosened its policy for the second time this week. Following the decision to lower the one-year and five-year Loan Prime Rates by 10 basis points earlier in the week, the PBoC announced on Thursday that it cut the one-year Medium-term Lending Facility (MLF) rate from 2.50% to 2.30%. Read more...
GBP/USD Price Analysis: Moves below 1.2900 toward the lower edge of ascending channel
GBP/USD continues to lose ground for the third successive session, trading around 1.2890 during the Asian hours on Thursday. The analysis of the daily chart shows the pair consolidates within an ascending channel, signaling a bullish bias for the pair's price movements.
The Moving Average Convergence Divergence (MACD), a momentum indicator, shows a shift in momentum as the MACD line crosses below the signal line. Despite this, the MACD line remains above the centerline. Observing further movement will help clarify the directional trend. Additionally, the 14-day Relative Strength Index (RSI) sits above the 50 level, suggesting a confirmation of a bullish bias. Read more...
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