GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

- GBP/USD is under pressure, trading below the pivot point of $1.3037, with further downside potential.

- RSI at 31 suggests the pair is nearing oversold territory, signaling potential for a short-term bounce.

- The 50-EMA at $1.3062 confirms bearish sentiment as long as the pair stays below this level.

The GBP/USD pair is trading at $1.30095, down 0.51% as bearish momentum continues to pressure the currency pair. On the 4-hour chart, the price has dipped below the pivot point of $1.3037, signaling a continuation of the recent downtrend.

Immediate resistance is observed at $1.3076, with further levels at $1.3102 and $1.3133. However, with the pair trading near key support at $1.3002, a break below this level could accelerate selling toward the next support zones at $1.2969 and $1.2942.

Technical indicators point to a bearish outlook, with the Relative Strength Index (RSI) at 31, hovering near oversold territory. This suggests the possibility of a short-term bounce, but the overall trend remains downward.

The 50-period Exponential Moving Average (EMA) is currently at $1.3062, reinforcing the bearish sentiment as the price remains well below this level. Traders should watch for further declines, especially if the pair breaches $1.3002.

A potential trading strategy could involve selling below $1.30353, targeting $1.29842, with a stop loss set at $1.30636 to mitigate risks.

The oversold RSI offers a note of caution, signaling the possibility of a short-term corrective move, but overall, the downward trend appears dominant.

This analysis highlights the key levels and indicators driving the GBP/USD’s short-term outlook, with a bearish bias prevailing for now.

GBP/USD - Trade Ideas

Entry Price – Sell Below 1.30353

Take Profit – 1.29842

Stop Loss – 1.30636

Risk to Reward – 1: 1.8

Profit & Loss Per Standard Lot = +$511/ -$283

Profit & Loss Per Mini Lot = +$51/ -$28