The GBP/USD failed to maintain its position above the July high of 1.3142, closing August at 1.3122, indicating a possible period of consolidation ahead. However, the daily chart shows a ‘bullish-harami’ pattern, suggesting that a move above 1.3199 could target the year-to-date high of 1.3266.
If the pair breaks below the support level of 1.3109, there is a risk of a further decline towards 1.3044 and eventually the 50-day moving average at 1.2894. Despite this, momentum appears to be leaning towards a bullish bias, with the RSI in positive territory but stabilizing.
GBP/USD Price Forecast: Technical Analysis Overview
Starting September on a positive note, the GBP/USD is currently trading at 1.3152, showing a slight increase during the North American session. With US financial markets closed for Labor Day, trading activity is expected to be light.
On the monthly chart, the failure to surpass the July high of 1.3142 and closing below it in August suggests a period of consolidation around the 1.3140-1.3270 range. Traders are awaiting the release of the US Nonfarm Payrolls data, which could influence the Federal Reserve’s decision on interest rates at the upcoming meeting.
From a daily chart perspective, the ‘bullish-harami’ pattern indicates a potential upward move if the pair clears the recent peak at 1.3199. Conversely, a break below 1.3109 could trigger a downward trend towards 1.3044 and 1.2894.
GBP/USD Price Action – Daily Chart
British Pound PRICE Today
The table below displays the percentage change of the British Pound (GBP) against major currencies today. The GBP showed strength against the Japanese Yen, indicating potential opportunities for traders.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.15% | -0.13% | 0.13% | 0.60% | 0.07% | -0.31% | 0.23% | 0.32% |
| EUR | 0.15% | -0.03% | 0.03% | 0.75% | 0.20% | -0.14% | 0.37% | 0.46% |
| GBP | 0.13% | -0.03% | – | 0.70% | 0.15% | -0.20% | 0.37% | 0.39% |
| JPY | -0.60% | -0.75% | 0.70% | – | -0.58% | -0.87% | -0.24% | -0.36% |
| CAD | -0.07% | -0.20% | 0.15% | 0.58% | – | -0.33% | 0.15% | 0.24% |
| AUD | 0.31% | 0.14% | 0.20% | 0.87% | 0.33% | – | 0.51% | 0.60% |
| NZD | -0.23% | -0.37% | 0.37% | 0.24% | -0.15% | -0.51% | – | 0.08% |
| CHF | -0.32% | -0.46% | 0.39% | 0.36% | -0.24% | -0.60% | -0.08% | – |
The heatmap visually represents the percentage changes of major currencies against each other, providing valuable insights for currency traders and investors.
Analysis and Conclusion
In summary, the GBP/USD is showing signs of potential consolidation after failing to hold above the July high. Traders should watch for key levels at 1.3199 for a bullish breakout towards the YTD high of 1.3266. Conversely, a downside break below 1.3109 could lead to a bearish trend towards 1.3044 and 1.2894.
With momentum currently leaning towards a neutral to bullish bias, traders are advised to monitor the RSI for further confirmation of market sentiment. The upcoming US Nonfarm Payrolls data release could also impact the pair’s movement, providing trading opportunities for informed investors.