GBP/USD Sideways, Awaiting a Break Above 1.2600
The GBP/USD pair is currently trading around 1.2550, maintaining a sideways trend after rebounding from the key support zone of 1.2485 - 1.2490. The 4-hour chart shows that the EMA 34 (1.2559) and EMA 89 (1.2603) are acting as dynamic resistance levels, limiting upward momentum in the short term. Additionally, the resistance zone at 1.2590 - 1.2600 presents a significant barrier to further gains.
However, the decline in U.S. Treasury yields has weakened the USD, providing support for the British pound's recovery. The sideways movement indicates that the market is awaiting additional signals from economic data, Fed policy updates, and comments from the Bank of England (BoE).
In the short term, if the price breaks above the 1.2600 level, the next target could be 1.2650 or higher. Conversely, a break below the support at 1.2485 could trigger a bearish move toward 1.2450 or lower. Traders should closely monitor U.S. Treasury yield trends and central bank commentary to determine the market's next direction.
However, the decline in U.S. Treasury yields has weakened the USD, providing support for the British pound's recovery. The sideways movement indicates that the market is awaiting additional signals from economic data, Fed policy updates, and comments from the Bank of England (BoE).
In the short term, if the price breaks above the 1.2600 level, the next target could be 1.2650 or higher. Conversely, a break below the support at 1.2485 could trigger a bearish move toward 1.2450 or lower. Traders should closely monitor U.S. Treasury yield trends and central bank commentary to determine the market's next direction.
Related publications
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.