Key Highlights
- GBP/USD started a steady increase above the 1.3450 zone.
- A short-term bullish trend line is forming with support at 1.3480 on the 4-hour chart.
- EUR/USD is currently consolidating gains above 1.1750.
- Gold dipped sharply and corrected gains after it traded to a new all-time high at $4,549.
GBP/USD Technical Analysis
The British Pound started a fresh increase above 1.3400 against the US Dollar. GBP/USD climbed higher above 1.3450 to enter a positive zone.
Looking at the 4-hour chart, the pair settled above 1.3450, the 200 simple moving average (green, 4-hour), and the 100 simple moving average (red, 4-hour). A high was formed at 1.3532 before the pair started a consolidation phase.
The pair tested the 23.6% Fib retracement level of the upward move from the 1.3311 swing low to the 1.3532 high. On the downside, there is key support at 1.3480. There is also a short-term bullish trend line forming with support at 1.3480. A downside break below the trend line might spark bearish moves.
The first major support is 1.3450. The next support could be 1.3400 and the 100 simple moving average (red, 4-hour), below which the pair might dive and test the 200 simple moving average (green, 4-hour) at 1.3300.
Immediate resistance sits near 1.3520. The first key hurdle is seen near 1.3550. A close above 1.3550 could open the doors for a move toward 1.3620. Any more gains could set the pace for a steady increase toward 1.3700.
Looking at Gold, the price rallied toward the $4,550 level before the bears appeared and sparked a sharp downside correction.
Upcoming Key Economic Events:
- US House Price Index for Oct 2025 (MoM) – Forecast +0.1%, versus 0% previous.
- Chicago Purchasing Manager’s Index for Dec 2025 – Forecast 39.5, versus 36.3 previous.
