GBP/USD Weekly Forecast: Time for a meaningful downside correction? Covid and US GDP eyed

GBP/USD has been rising amid speculation of a BOE rate hike and risk-on-related dollar weakness. UK covid headlines, US GDP and US politics are set to move markets ahead of Halloween. Late October’s daily chart is painting a mixed picture. A rate hike in the UK? Speculation has been pushing the pound higher, and the topic will likely remain a major market mover for sterling ahead of Halloween. US growth figures stand out in a packed US economic calendar. Read more…

GBP/USD Forecast: Near-term support holds, fundamentals point to additional gains

GBP/USD has declined to the lower limit of the ascending channel. Retail Sales in the UK fell unexpectedly in September, PMIs improved in October. Dollar’s uninspiring performance and fundamentals point to additional gains. The British pound has started the last day of the week on the back foot pressured by the disappointing Retail Sales data from the UK, which showed a contraction of 0.2% in September vs the market expectation for an increase of 0.5%. Nevertheless, the upbeat October PMI figures seem to be helping the GBP stay resilient against the dollar. Read more…

GBP/USD breaks below 1.3800 on mixed UK data, ahead Fed’s Powell

GBP/USD broke below 1.3800 on weaker than expected UK Retail Sales. The market sentiment is positive, but the British pound failed to capitalize on its risk-sensitive status. Investors’ focus turns to the Fed Chairman Jerome Powell, who is on the wires. The GBP/USD slides for the second day in a row, down 0.18%, trading at 1.3768 during the New York session at the time of writing. Worse than expected, UK retail sales data pushed the pair towards the Thursday low at 1.3776 but bounced off, failing to break above the 1.3800 figure. Read more…