FX.co ★ GBP/USD

GBPUSD Price Forecast: In today's article, we will take a closer look at the current price action of the GBP/USD currency pair. After briefly rising near 1.33385 last week, GBP/USD has been trading sideways below that level this week. The downtrend is likely to continue. A sell signal was generated today at 1.33385, targeting the 161 Fibonacci level near 1.32540 on the chart. The target price has been reached, and it would be disappointing if the price fails to reach this level. However, the down trend is expected to continue, with a potential move towards this level and the 200 level near 1.32185. Meanwhile, a short position could be considered if there's another correction near the 100 level near 1.33055, last week's low, to break even.

EUR/USD followed the euro's lead, showing no signs of stopping at the 38% Fibonacci level. While the EUR/USD situation is relatively straight forward, GBP/USD could rise at any time within the area indicated on the chart. The horizontal level of 1.32185 is a strong support level, closely aligned with the trend line. Since the euro has already reached a significant level, I believe further declines in GBP/USD are unlikely. A break below this level would represent a significant trend reversal. For GBP/USD, we expect an uptrend this week and hope to see new highs at 1.37385 and even 1.42385 in the long term. On the 4-hour chart, the MACD indicator, like EUR/USD, is showing divergence, with the correction approaching a low, suggesting an imminent reversal.