Trading GBPUSD: Impact of Today’s Key Fundamental News
The GBPUSD currency pair, commonly known as “Cable,” is one of the most actively traded forex pairs globally, combining the British Pound Sterling (GBP) with the U.S. Dollar (USD). Today’s upcoming fundamental news reveals critical monetary policy discussions from both sides. The Federal Reserve speakers, including Thomas Barkin and Adriana Kugler, are likely to hint at the future direction of U.S. monetary policy, potentially influencing USD strength. Additionally, inflation expectations and treasury budget reports will offer further insight into the U.S. economy’s health. On the GBP side, Bank of England members Clare Lombardelli, Megan Greene, Catherine Mann, and Alan Taylor are scheduled to speak, with any hawkish signals potentially boosting the Pound’s value significantly against the dollar.
Chart Notes:
• Chart time-zone is UTC (+03:00)
• Candles’ time-frame is 4h.
Analyzing the GBP/USD H4 chart, the price action currently exhibits bearish pressure. The red Ichimoku cloud positioned above the price candles indicates strong downward momentum, suggesting a bearish market sentiment. The latest candles approached the cloud’s lower boundary but faced resistance, notably failing to surpass the crucial 0.5 Fibonacci retracement level, confirming its strength as a robust resistance zone. Price has shown a corrective attempt upwards but now demonstrates renewed bearish intent, retreating from the 0.618 Fibonacci level and turning towards 0.786. The MACD histogram also signals bearishness, and the RSI remains below 50, indicating that sellers currently dominate market momentum. Traders should watch closely for today’s economic news, which could create volatility and decisively influence the GBP USD trend direction in the short term.
• DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore LLC”. This post has been published only for educational purposes.
