Daily Price Outlook

- GBP/USD trades at $1.27628, slightly below the pivot point of $1.2801, showing cautious sentiment.

- 50-day EMA at $1.2759 offers support; RSI at 54 indicates a neutral to mildly bullish trend.

- Buy limit at $1.27486 with a target of $1.28008; stop-loss set at $1.27173 to manage risk.

The British pound is trading around $1.27628, experiencing a modest decline of 0.03% in the current session.

On the 4-hour chart, GBP/USD is hovering just below the pivot point at $1.2801, indicating a cautious market sentiment.

The immediate resistance is positioned at $1.2802, a level that, if breached, could lead the pair to test higher resistance levels at $1.2839 and $1.2889.

However, the pound remains under pressure, with immediate support seen at $1.2708. Should this support fail to hold, the next downside targets are at $1.2672 and $1.2633.

The 50-day Exponential Moving Average (EMA) is slightly below the current price, positioned at $1.2759, suggesting that the pair may find support around this level.

The Relative Strength Index (RSI) is currently at 54, indicating a neutral to mildly bullish outlook.

This RSI reading implies that the market is neither overbought nor oversold, providing room for potential upward movement if positive momentum gains traction.

Given the current technical setup, a buy limit order at $1.27486 could be strategically advantageous, with a take-profit target at $1.28008.

A stop-loss order should be placed at $1.27173 to mitigate risk in the event of further downside movement.

The key focus for traders will be on whether the pound can reclaim the pivot point at $1.2801, which could open the door for a more substantial rally.

GBP/USD Price Chart - Source: Tradingview
GBP/USD Price Chart - Source: Tradingview

GBP/USD - Trade Ideas

Entry Price – Buy Limit 1.27486

Take Profit – 1.28008

Stop Loss – 1.27173

Risk to Reward – 1: 1.6

Profit & Loss Per Standard Lot = +$522/ -$313

Profit & Loss Per Mini Lot = +$52/ -$31

GBP/USD

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