GBP/USD Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

    * The GBP/USD currency pair is trading at the 1.2517 level, rebounding from crucial support at 1.2499.

    * Despite disappointing UK GDP figures, the technical outlook on the four-hour time frame suggests a slight bullish bias as long as the 1.2500 level is maintained.

    * RSI and MACD indicators indicate oversold conditions for the Sterling, while the price remains below the 50-day exponential moving average, potentially signaling a bullish correction.

The GBP/USD currency pair is currently trading at the 1.2517 level, having rebounded from the crucial support around 1.2499. On the economic front, the market has witnessed significant impact from high-impact economic events in the UK, with particular focus on the disappointing UK GDP figures.

However, shifting our attention to the technical outlook on the four-hour time frame, there is a slight support or bullish bias as long as the 1.2500 level is maintained.

The RSI and MACD indicators indicate that the Sterling is in the oversold zone. Furthermore, the current price of the GBP/USD is well below the 50-day exponential moving average, suggesting the possibility of a bullish correction in the market.

Considering these factors, we can anticipate that GBP/USD prices may exhibit bullish momentum above the 1.2500 level, targeting levels around 1.2560 or 1.2585. Conversely, if the Sterling breaks below the 1.2500 support zone, the next support level is likely to be found around 1.2540.

GBP/USD - Trade Idea

Entry Price – Buy Above 1.24960

Stop Loss – 1.24563

Take Profit – 1.25847

Risk to Reward – 1 : 2.2

Profit & Loss Per Standard Lot = +$887/ -$397

Profit & Loss Per Micro Lot = +$88/ -$39