GBP/USD Price Forecast: Consolidates near weekly highs on Thanksgiving

• GBP/USD maintains a downward trend but shows signs of short-term upward bias.
• Resistance levels to watch include 1.2714 and the 200-day SMA at 1.2818.
• Key supports lie at 1.2600 and further down at the November 26 low of 1.2506.
• Oscillators like the Relative Strength Index (RSI) hint at continued bearish sentiment despite a recent uptick

The GBP/USD consolidates at around weekly highs, posting modest losses of 0.05% at around 1.2670 due to thin liquidity conditions as US markets remain closed for Thanksgiving.

The Greenback has been pressured for the last few days due to month-end flows and rebalancing, noted ING. Although US data was upbeat on Wednesday, market participants digested Trump's tariff rhetoric.

GBPUSD Price Forecast: Technical outlook

The GBP/USD trend remains downward biased, although the Pound has recovered some ground. If buyers want to regain control, first, they need to clear 1.2714, the November 20 high, followed by the 200-day Simple Moving Average (SMA) at 1.2818, which has turned flat. If those two resistance levels are surpassed, buyers' ride toward 1.3000 would not be easy after the 50-day SMA just crossed below the 100-day SMA and accelerated toward forming a 'death-cross.'

Conversely, sellers must achieve a daily close below 1.2600 for a bearish continuation. A breach of the latter will expose the November 26 low of 1.2506, ahead of last week's low of 1.2486.

Oscillators such as the Relative Strength Index (RSI) remain bearish-biased despite rising for three straight days. The GBP/USD is tilted to the upside in the short term, but downside risks remain.

GBP/USD Price Chart - Daily