Sterling in Retreat: Pound Slumps Against a Surging Dollar 23/4/2026

The GBP/USD pair declined after failing to break through the 1.3530 resistance level, pushing it into a downward trend and testing the 1.3500 support level.

Technical Outlook – 4-Hour Timeframe:

In the short term, the trend is bearish, supported by a bearish crossover of the simple moving averages, which reinforces the likelihood of further declines. This outlook is further supported by the Relative Strength Index (RSI), which is showing clear negative signals on shorter timeframes, reflecting weak upward momentum.

Likely Scenario:

As long as the price remains below the 1.3525 to 1.3550 zone, the bearish bias remains the most favored for today’s trading. We are targeting 1.3470 as the first objective, followed by 1.3445 as the next level.

Conversely, a return to trading above 1.3550 would lead to a temporary recovery for the pair, targeting a retest of 1.3560 and then 1.3590.

Note: Today, April 23, 2026, the market is bracing for significant volatility following the release of Flash PMI data for both the UK (at 09:30 BST) and the US (at 13:45 GMT). Additionally, traders are closely monitoring UK Public Sector Net Borrowing figures and US Initial Jobless Claims, all occurring against the backdrop of persistent geopolitical tensions in the Strait of Hormuz.

Caution: The risk level is high amid ongoing trade and geopolitical tensions, and all scenarios remain possible.

Trading CFDs involves risks, and therefore all scenarios may be plausible. The information provided above is not a recommendation to sell or buy but rather an explanatory reading of price movement on the chart.

S1: 1.3470	R1: 1.3525
S2: 1.3445	R2: 1.3560
S3: 1.3405	R3: 1.3590