Slobodan Drvenica
Windsor Brokers
GBP/USD
Cable fell some hundred pips on Wednesday as traders booked profits from Tuesday's 1.2% rally, weakening near-term structure and shifting focus lower. Bull-trap pattern is forming on daily chart following unsuccessful attempts to clearly break above daily cloud, as the pair closed above cloud top on Tuesday but subsequent weakness on Wednesday already retraced over 61.8% of Tuesday's advance and touched cloud base. Rising bearish momentum supports scenario of return and close below the cloud that would confirm bull-trap and risk deeper fall towards 22 May trough at 1.2161. It seems that euphoria over sidelining introduction of negative interest rates was short-lived and pound remains pressured by fears of hard Brexit, the fact that the UK will not benefit from EU recovery fund and sub-zero rates scenario that remains as possibility on Britain's fight to cushion devastating damages to the UK economy, caused by pandemic lockdown.
Res: 1.2275; 1.2304; 1.2354; 1.2362
Sup: 1.2238; 1.2218; 1.2182; 1.2161
Interested in GBP/USD technicals? Check out the key levels
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
Recommended Content
Editors’ Picks
EUR/USD posts small gains near 1.0400 ahead of Eurozone inflation data
EUR/USD is trading with modest gains at around 1.0400 in the European trading hours on Tuesday. The sustained US Dollar weakness and profit-taking ahead of the Eurozone inflation data underpin the pair. US ISM Services PMI and Job Openings data are also awaited.
GBP/USD stays firm toward 1.2550 amid weaker US Dollar
GBP/USD keeps its bid tone intact, eyeing 1.2550 in Tuesday's European morning. The pair's advance is driven by a broadly subdued US Dollar but the further upisde could be capped by a mixed market mood heading into the US data releases.
Gold price steadily climb back closer to $2,650, lacks follow-through
Gold price attracts some haven flows amid worries about Trump’s tariff plans. The Fed’s hawkish shift and elevated US bond yields could cap the XAU/USD. Traders now keenly await FOMC minutes and US NFP releases later this week.
Solana Price Forecast: Open Interest reaches an all-time high of $6.48 billion
Solana price trades slightly down on Tuesday after rallying more than 12% the previous week. On-chain data hints for rallying continuation as SOL’s open interest reaches a new all-time high of $6.48 billion on Tuesday.
Five fundamentals for the week: Nonfarm Payrolls to keep traders on edge in first full week of 2025 Premium
Did the US economy enjoy a strong finish to 2024? That is the question in the first full week of trading in 2025. The all-important NFP stand out, but a look at the Federal Reserve and the Chinese economy is also of interest.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.