Pound Sterling Price News and Forecast: GBP/USD drops back closer to mid-1.1900s

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GBP/USD Forecast: Sellers wake up as Pound Sterling drops below key support

GBP/USD has extended its slide and declined below 1.2000 on Thursday after having failed to capitalize on the broad-based US Dollar (USD) weakness on Wednesday. The pair looks fragile as it closes in on key support area. In the second half of the day, mid-tier data releases from the US will be looked upon for fresh impetus.

Improving risk mood on upbeat macroeconomic data releases from China made it difficult for the US Dollar to find demand on Wednesday. Although GBP/USD climbed toward 1.2100 in the early European session, it came under renewed bearish pressure in the second half of the day. Read more…

GBP/USD drops back closer to mid-1.1900s, eyes 200-day SMA amid bullish USD

The GBP/USD pair comes under some fresh selling pressure following the previous day’s good two-way price swings and drifts lower through the first half of the European session. The downward trajectory drags spot prices back closer to mid-1.1900s in the last hour and well within the striking distance of a technically significant 200-day Simple Moving Average (SMA).

A combination of factors assists the US Dollar to regain strong positive traction, which, in turn, is seen exerting some downward pressure on the GBP/USD pair. The prospects for further policy tightening by the Fed continue to push the US Treasury bond yields higher. Apart from this, a softer risk tone – amid looming recession risks – lends additional support to the safe-haven Greenback. Read more…

GBP/USD sticks to the consolidative range – UOB

GBP/USD is likely to maintain the ongoing consolidation within 1.1970-1.2150 range in the next weeks, note Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group.

24-hour view: “We highlighted yesterday that ‘the sharp pullback has scope to extend but any decline is viewed as part of a lower trading range of 1.1970/1.2090’. We added, ‘a sustained drop below 1.1970 is unlikely’. GBP subsequently traded between 1.1965 and 1.2088 before closing little changed at 1.2025 (+0.06%). The price actions are likely part of a consolidation phase and today, we expect GBP to trade sideways between 1.1970 and 1.2085.” Read more…

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• Source: https://www.fxstreet.com/news/pound-sterling-price-news-and-forecast-gbp-usd-drops-back-closer-to-mid-11900s-202303021211