GBP/USD is trading sideways below 1.3150 in the European session on Monday, with a potential for further downside if 1.3130 becomes a resistance level. The market is expected to remain quiet due to thin trading conditions.
Last week, GBP/USD declined by 0.7% on renewed US Dollar strength, maintaining a narrow range this morning. The technical outlook suggests a bearish bias for the pair.
British Pound PRICE Last 7 days
The table below shows the percentage change of the British Pound (GBP) against major currencies in the last 7 days. GBP was weakest against the Canadian Dollar.
Upbeat US macroeconomic data boosted the USD in the previous week. The USD extended its rebound on Friday after core PCE Price Index data met expectations, indicating inflation growth.
No high-impact data releases are expected on Monday due to the Labor Day holiday in the US, leading to sideways movement in GBP/USD. Key data releases later this week include US Manufacturing and Services PMI and the August jobs report.
GBP/USD Technical Analysis
GBP/USD is below the 20-period and 50-period SMAs, with the RSI near 40, indicating weak recovery momentum. Immediate support at 1.3130, followed by 1.3100 and 1.3050. Resistances at 1.3160-1.3710, 1.3200, and 1.3260.
Pound Sterling FAQs
The Pound Sterling (GBP) is the oldest currency, official in the UK, with key trading pairs like GBP/USD and GBP/JPY. BoE’s monetary policy, economic data, and trade balance impact GBP value.