Created
: 2024.03.28
2024.03.28 15:11
The GBP/USD pair remains on the defensive around 1.2630 on Thursday during the early European trading hours. The hawkish tone from Federal Reserve (Fed) Governor Christopher Waller early Thursday has lifted the US Dollar (USD) broadly, which creates a headwind for the GBP/USD pair.
The Fed's Waller said the US central bank is in no rush to cut the benchmark rate and may need to "maintain the current rate target for longer than expected. Traders await the final UK Gross Domestic Product (GDP) growth number for Q4 on Thursday, which is projected to contract 0.3% QoQ in Q4.
From a technical perspective, GBP/USD maintains the bearish outlook unchanged as the major pair holds below the key 100-period Exponential Moving Average (EMA) on the four-hour chart. The downward momentum is confirmed by the Relative Strength Index (RSI), which lies below the 50 midlines, supporting the sellers for the time being.
The first upside barrier for GBP/USD will emerge near the upper boundary of the Bollinger Band at 1.2655. A break above the latter will expose the 100-period EMA at 1.2685. Further north, the next hurdle is seen near a high of March 18 at 1.2746, followed by the psychological level of 1.2800.
On the flip side, the initial support level of the major pair is located near the lower limit of the Bollinger Band at the 1.2600-1.2605 region. A breach of this level will pave the way to a low of March 22 at 1.2575. The next contention level to watch is a low of February 14 at 1.2535, en route to the 1.2500 round figure.
Created
: 2024.03.28
Last updated
: 2024.03.28
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy