GBP/USD Technical Analysis. The GBP/USD pair continued its attempts to maintain its recent gains against the US dollar, but signs of weakness began to appear near strong resistance, raising questions about the possibility of a downward correction. The pair is also affected by the cautious mood in the markets ahead of the release of influential US data today, which makes anticipation the norm.
Technical Overview of the GBP/USD Pair
Looking at the H1 chart, we notice that the pair moved in a clear upward trend from the 1.3340 level until it reached a high around 1.3582, before retreating slightly towards the support at 1.3529. The movement above the major moving averages continues to support the upside, but the inability to break 1.3582 could push the market temporarily back.
Technical Indicators Analysis:
Moving Averages: The 50- and 200-day EMAs remain below the price and provide support at 1.3495 and 1.3440.
The MACD indicator: is showing a negative crossover and declining momentum, indicating the beginning of a weak buying trend.
The Stochastic indicator: is trending down from overbought areas above 90, indicating potential profit-taking.
GBP/USD Technical Analysis : Expected Scenarios
Bullish Scenario:
- If the pair can recover above 1.3556 and hold above it, we may witness a rally towards 1.3582, an important resistance level. If it is breached, the next target will be 1.3615.
- A strong candlestick with momentum could strongly re-establish the uptrend.
Bearish Scenario:
- If the price breaks the 1.3529 support, it may first decline towards 1.3495, an important moving support level, followed by 1.3446, a strong medium-term support level.
- A break of 1.3446 could change the short-term trend to a downside one, targeting 1.3400 and then 1.3360.
Trading strategies based on Buy/Sell levels
| In case of buying | in case of selling | GBPUSD |
| 1.34831 | 1.34625 | Entry point |
| First resistance: 1.35106 | First support: 1.34304 | Target Point 1 (TP1) |
| Second resistance 1.35400 | Second support 1.34000 | Target Point 2 (TP2) |
| 1.34625 | 1.34831 | Stop Loss (SL) |
The overall trend remains positive for the GBP/USD pair as long as the price maintains trading above 1.3495, but current momentum signals warn of a potential correction. It is best to monitor price action around 1.3556 and 1.3582 before making entry decisions. A break of 1.3446 negates the positive scenario in the short term.
Today’s Impactful Economic News – Thursday, May 30, 2025:
- US Personal Consumption Expenditures (PCE) data (3:30 PM Mecca time): This data measures the level of underlying inflation and will directly impact the strength of the US dollar.
- US Weekly Jobless Claims (3:30 PM): A higher-than-expected rise could weaken the dollar and support the pound.
- There is no direct impactful data from the UK today, but the market is reacting to any signals regarding UK interest rate expectations in upcoming meetings.
