GBP/USD Price Analysis: Holds above the 1.2720 mark amid the risk-on mood
The GBP/USD pair kicks off the new week on a positive note during the early European session on Monday. The rebound of the major pair is bolstered by the risk-on environment. However, the rising tension in the Red Sea might boost safe-haven asset demand and cap the upside of GBP/USD. At press time, the pair is trading at 1.2722, up 0.16% for the day.
Technically, GBP/USD resumes its uptrend as the pair holds above the 100-hour Exponential Moving Averages (EMA) on the four-hour chart. Furthermore, the 14-day Relative Strength Index (RSI) stands in bullish territory above the 50 midlines, indicating that further upside looks favorable. Read more...
-638415005857485648-638415010440460394.png)
GBP/USD edges higher to near 1.2710 on prevailing risk-on mood
GBP/USD retraces its recent losses registered on Friday, trading higher near 1.2720 during the Asian session on Monday. The Pound Sterling (GBP) makes advances against the US Dollar (USD), a movement potentially linked to the prevailing risk-on market sentiment. However, challenges arose for the GBP/USD pair following the release of lackluster December Retail Sales data from the United Kingdom (UK) on Friday.
Office for National Statistics (ONS) released the monthly Retail Sales data for December, revealing a notable decline of 3.2%, compared to the previous figure of 1.4%. This exceeded the anticipated decrease of 0.5%. On an annual basis, the data indicated a decrease of 2.4%, contrasting with the expected increase of 1.1%. Read more...
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD extends gains above 0.6650 on softer US PCE data
The AUD/USD pair trades on a stronger note near 0.6675 during the early Asian session on Monday. The growing speculation that the US Federal Reserve would cut interest rates in 2024 weighs on the Greenback across the board.
EUR/USD: US employment data and FOMC Minutes under the spotlight
The EUR/USD pair traded lifeless for most of the last week around 1.0700, barely reacting on Friday following the release of the United States Personal Consumption Expenditures Price Index.
Gold struggles to find direction heading into key week
Gold managed to hold above $2,300 despite broad US Dollar strength. The technical outlook highlights XAU/USD’s indecisiveness in the near term. Fed Chairman Powell’s speech and key macroeconomic data releases from the US could help Gold find direction this week.
Layer 1 tokens that are likely dead coins, fail to recover this cycle: XTZ, IOTA, KLAY, ALGO, EOS
The cryptocurrency market is cyclical in nature and several Layer 1 tokens have noted a decline in their prices, as new narratives like Artificial Intelligence (AI) and meme coins dominate in 2024.
French election: The far-right wins, but there’s a big test to come
The initial reaction to the first round of voting in the French Parliamentary election that took place on Sunday has been a small sigh of relief. EUR/USD has opened higher, and is up some 20 pips. Although Marine Le Pen’s National Rally party won the largest vote share, it was still short of an overall majority.