FX.co ★ XOXO | GBP/USD

GBP/USD TECHNICAL OUTLOOK: The GBP/USD pair has been demonstrating a clear downward trajectory in its price, steadily approaching the desired target of 1.2670. Currently, it seems to be oscillating around the 1.2680 mark, indicating a period of indecision as it awaits a resurgence in bearish momentum. Should this momentum resume, there's potential for the price to surpass the aforementioned objective and set its sights on the next target at 1.2590. It's worth noting that this bearish trend is notably supported by the EMA50, reinforcing its credibility. Until we witness a significant breakthrough above the 1.2600 threshold, and the price maintains stability beyond it, the prevailing negative outlook remains valid. As of the early Asian session on Friday, around the 1.2672 mark, the GBP/USD pair appears to be trading sideways, reflecting a subdued market sentiment. Given the observance of Good Friday, it's anticipated that trading activity will remain subdued, with minimal fluctuations expected.

In summary, the GBP/USD pair's price movement indicates a continuing downward trend, with potential for further decline towards the next target level at 1.2590. The current sideways trading pattern suggests a period of uncertainty, likely exacerbated by the holiday-induced quietness in the market. This indicated a preliminary test of the support level, suggesting that the market sentiment might not be as bearish as initially anticipated. As a result, I adjusted my trading strategy for today. However, the bearish momentum remains intact, supported by the EMA50, reinforcing the negative scenario until a significant breakthrough occurs above the critical 1.2600 mark.