GBP/USD Forecast

The gains made yesterday by the GBP/USD currency pair to the resistance level of 1.2715 quickly evaporated.

During my daily analysis of the GBP/USD pair, the first thing I notice is that we did try to rally, but it seems like above the 1.27 level, the sellers came in and really started to push the markets again.

In my daily analysis of the GBP/USD pair, the first thing that I notice is that we have been consolidating around the 1.2650 region, an area that seems to be important from a short-term perspective.

The British pound has bounced quite nicely from the 1.26 level on Monday morning as it looks like we are finally getting a little bit of a reprieve here from the oversold conditions.

The British Pound's resilience against the strong US Dollar has not lasted long. Over the past six trading sessions, the GBP/USD has been subjected to selling, starting from the resistance level of 1.3008.

The British pound initially did try to rally during the trading session on Friday but gave back gains as it looks like we continue to struggle overall.

The GBP/USD exchange rate has been in a steep sell-off since September 30th, falling from a high of 1.3428 to 1.2600, its lowest level since July 2. This sell-off accelerated as the US dollar index (DXY) surged from the year-to-date low of 100 to $107.

Following the release of stronger-than-expected US inflation data, selling of the GBP/USD currency pair increased with losses extending to the support level of 1.2672, the lowest for the currency pair in three months.

During my daily analysis of major currency pairs, the GBP/USD pair has captured a bit of attention due to the fact that we are at a major crossroads when it comes to the technical analysis aspect of this market.

At the beginning of this week, the GBP/USD exchange rate is facing pressure, and we will be monitoring the key support levels that will be tested in the coming days.

Along with the US presidential elections and Trump's victory, both the Bank of England and the Federal Reserve cut interest rates by 25 basis points last week.

The British Pound has rallied a bit during the trading session early on Thursday as the Bank of England cut interest rates by 25 basis points.

The pound fell more than 1%, falling below $1.29, as the stronger dollar gained momentum after early US election results suggested a higher probability of a Donald Trump victory.

The British pound has declined against both the U.S. dollar and the euro amid uncertainty surrounding the U.S. presidential election results.

At the start of trading this week, the GBP/USD exchange rate rose to 1.2998 before settling around 1.2950 at the time of writing this analysis.