Noor Trends News, Technical Analysis, Educational Tools and Recommendations
The British pound extended its decline against the U.S. dollar, reaching the first target outlined in our previous technical report at 1.3310, with the pair recording a low of 1.3308.
Technical Outlook:
Intraday movements reveal a modest upward bias as the pair approaches the psychological support level of 1.3300. However, a closer examination of the chart shows the Relative Strength Index (RSI) beginning to send bearish signals, as it retreats from overbought territory—potentially capping any immediate gains. Additionally, the 50-period Simple Moving Average (SMA) continues to serve as a strong dynamic resistance level, reinforcing the bearish tone.
Probable Scenario:
A continuation of the downward trend is likely during today’s session. A confirmed break below the 1.3310 level would likely intensify selling pressure, opening the way toward the next target at 1.3280. A further break of this level would extend the bearish move toward 1.3250.
Alternative Scenario:
If the pair stabilizes above the 1.3380 resistance level, this may signal an early attempt at recovery, with initial upside potential toward 1.3405, followed by 1.3440.
High-Impact Events – Volatility Alert:
Traders should exercise caution today as markets await a series of high-impact U.S. economic releases, including:
- Non-Farm Payrolls (ADP)
- Quarterly GDP data
- Federal Reserve interest rate decision
- FOMC statement
- Press conference by Fed Chair Jerome Powell
These events may result in elevated market volatility across major currency pairs, including GBP/USD.
Warning:
With heightened geopolitical and trade uncertainties, the risk level remains elevated. All scenarios should be considered, and traders are advised to implement appropriate risk management.
Disclaimer: Trading in CFDs carries inherent risks. The analysis provided herein is not a recommendation to buy or sell, but rather an interpretation of the current price movement on the chart.
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