Global markets rose on Wednesday, with the dollar hovering near a three-year low of 96, as investors considered the increasing likelihood of US interest rate reduction and the push for trade agreements ahead of President Donald Trump's July 9 tariff deadline.
Meanwhile on the radar, the U.S. official Job report would be on the wire later this week and as always, market participants would keenly pay attention to the reading which would give critical gauge of the labor market strength vis a vis the health of the economy. In view of the upcoming report, a strong report could reinforce confidence in the economy while a mixed print may reignite concerns over the slowing growth.
GBP/USD TECHNICAL OUTLOOK
GBP/USD tested 1.3788 on Tuesday, its highest level since 1st of November 2021(approximately 44 months). However, the bears struggled to push prices before the close of the day.
Looking at the daily chart, the broader market structure remains bullish with price bouncing off the trendline multiple times hence acting as a dynamic support.
The pair is currently retracing, with potential target towards 50 level of the Fib. at 1.3588 which would likely act as a minor support, whereas a break below the 50 level would likely usher sellers to the next potential target around 78.6 level of 1.3469. Meanwhile, a break below 1.3380 would mean absolute BOS and then would signal that bearish momentum has prevailed hence sellers would potentially target 1.3176.
On the flip side, if bulls regain control near the trendline or within the Fibonacci zones, the key upside target remains the previous high at 1.3788, followed by a push toward the psychological 1.3800 barrier according to analysts. Breakouts in either direction remain possible in the coming weeks, especially amid heightened volatility and key macroeconomic drivers.
Meanwhile on the radar, the U.S. official Job report would be on the wire later this week and as always, market participants would keenly pay attention to the reading which would give critical gauge of the labor market strength vis a vis the health of the economy. In view of the upcoming report, a strong report could reinforce confidence in the economy while a mixed print may reignite concerns over the slowing growth.
GBP/USD TECHNICAL OUTLOOK
GBP/USD tested 1.3788 on Tuesday, its highest level since 1st of November 2021(approximately 44 months). However, the bears struggled to push prices before the close of the day.
Looking at the daily chart, the broader market structure remains bullish with price bouncing off the trendline multiple times hence acting as a dynamic support.
The pair is currently retracing, with potential target towards 50 level of the Fib. at 1.3588 which would likely act as a minor support, whereas a break below the 50 level would likely usher sellers to the next potential target around 78.6 level of 1.3469. Meanwhile, a break below 1.3380 would mean absolute BOS and then would signal that bearish momentum has prevailed hence sellers would potentially target 1.3176.
On the flip side, if bulls regain control near the trendline or within the Fibonacci zones, the key upside target remains the previous high at 1.3788, followed by a push toward the psychological 1.3800 barrier according to analysts. Breakouts in either direction remain possible in the coming weeks, especially amid heightened volatility and key macroeconomic drivers.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.