GBP/USD Price Analysis: Aims to refresh multi-decade low at around 1.1100

GBP/USD pair is expected to print a fresh multi-decade low after dropping below 1.1200.
The downward sloping trendline from 1.1738 has acted as a major barricade for the counter.
Declining 50-EMA at 1.1290 adds to the downside filters.

Sagar Dua FXStreet

The GBP/USD pair has delivered a downside break of the consolidation formed in a narrow range of 1.1250-1.1275 in the Tokyo session. The asset is declining after facing hurdles around 1.1350 on Thursday. The cable is expected to re-test the fresh multi-decade low at 1.1211 and then the auction structure will decide the fate of the asset.

On an hourly scale, the asset is declining towards 1.1211 after dropping below 1.1250. The horizontal resistance plotted from September 16 low at 1.1351 has acted as a major barricade for the pound bulls. Also, the downward-sloping trendline placed from September 13 high at 1.1738 has been restricting the sterling bulls from turning bullish.

The declining 50-period Exponential Moving Average (EMA) at 1.1290 is hinting at more weakness.

A scrutiny of the Relative Strength Index (RSI) (14) displays that the momentum oscillator found resistance around 60.00 and is now on the verge of shifting into the bearish range of 20.00-40.00. An occurrence of the same will weaken the pound bulls further.

After surrendering the fresh multi-decade low at 1.1211, the cable will decline towards the 4 February 1985 high at 1.1160, followed by the round-level support at 1.1100.

Alternatively, pound bulls could regain strength and drive the cable towards Tuesday’s high at 1.1461 and the psychological resistance at 1.1500, if the asset manages to break above Thursday’s high at 1.1363.

GBP/USD hourly chart

GBP/USD

Overview
Today last price	1.1236
Today Daily Change	-0.0023
Today Daily Change %	-0.20
Today daily open	1.1259

Trends
Daily SMA20	1.1519
Daily SMA50	1.1828
Daily SMA100	1.206
Daily SMA200	1.2666

Levels
Previous Daily High	1.1364
Previous Daily Low	1.1212
Previous Weekly High	1.1738
Previous Weekly Low	1.1351
Previous Monthly High	1.2294
Previous Monthly Low	1.1599
Daily Fibonacci 38.2%	1.127
Daily Fibonacci 61.8%	1.1306
Daily Pivot Point S1	1.1193
Daily Pivot Point S2	1.1126
Daily Pivot Point S3	1.104
Daily Pivot Point R1	1.1345
Daily Pivot Point R2	1.1431
Daily Pivot Point R3	1.1497

Author

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

EUR/USD keeps the rangebound trade near 1.1850

EUR/USD is still under pressure, drifting back towards the 1.1850 area as Monday’s session draws to a close. The modest decline in spot comes as the US Dollar picks up a bit of support, while thin liquidity and muted volatility, thanks to the US market holiday, are exaggerating price swings and keeping trading conditions choppy.

GBP/USD flirts with daily lows near 1.3630

GBP/USD has quickly given back Friday’s solid gains, turning lower at the start of the week and drifting back towards the 1.3630 area. The focus now shifts squarely to Tuesday’s UK labour market report, which is likely to keep the quid firmly in the spotlight and could set the tone for Cable’s next move.

Gold battle around $5,000 continues

Gold is giving back part of Friday’s sharp rebound, deflating below the key $5,000 mark per troy ounce as the new week gets underway. Modest gains in the US Dollar are keeping the metal in check, while thin trading conditions, due to the Presidents Day holiday in the US, are adding to the choppy and hesitant tone across markets.

AI Crypto Update: Bittensor eyes breakout as AI tokens falter

The artificial intelligence (AI) cryptocurrency segment is witnessing heightened volatility, with top tokens such as Near Protocol (NEAR) struggling to gain traction amid the persistent decline in January and February.

The week ahead: Key inflation readings and why the AI trade could be overdone

It is likely to be a quiet start to the week, with US markets closed on Monday for Presidents Day. European markets are higher across the board and gold is clinging to the $5,000 level after the tamer than expected CPI report in the US reduced haven flows to precious metals.

XRP steadies in narrow range as fund inflows, futures interest rise

Ripple is trading in a narrow range between $1.45 (immediate support) and $1.50 (resistance) at the time of writing on Monday. The remittance token extended its recovery last week, peaking at $1.67 on Sunday from the weekly open at $1.43.