Sustained seller pressure across all key averages — Pound Sterling vs Dollar extends losses

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Pound Sterling vs Dollar drops 0.55% today

Highlights

GBP/USD remains under sustained bearish pressure, trading below key moving averages across all timeframes.
Momentum indicators signal strong downside, with MACD and ADX confirming a firm bearish trend and RSI nearing oversold.
Short-term range expected between $1.3300 and $1.3450, with sub-20% probability of upside and potential downside if $1.3300 fails.

Momentum weakens further as resistance holds and bearish signals build

Technical analysis shows that the Ichimoku Kijun level sits at $1.3463, which acts as immediate resistance above the current price. Momentum indicators on D1 remain negative: MACD signals a strong sell and ADX indicates a firm bearish trend. The RSI is nearing oversold conditions, Stoch RSI confirms broad-based weakness, and CCI is neutral but not oversold. Bull/Bear Power (BBP) offers a slight edge for buyers, yet most intraday signals are aligned for further downside with no significant divergence detected.

Downside risk grows as sideways range underpins bearish outlook

For the next five trading days, GBP/USD is expected to remain in a typical volatility band between $1.3300 and $1.3450. The probability of a price increase is very low (below 20%), suggesting a higher likelihood of further declines. In the baseline scenario, GBP/USD moves sideways within this range as sell pressure persists. A bullish development would require a sustained breakout above the $1.3460 resistance zone, while a drop below the $1.3300 support could trigger renewed momentum to the downside.

Anton Kharitonov, expert at Traders Union, sees persistent bearish pressure on GBP/USD as the pair trades below all key moving averages and momentum indicators remain negative. He notes that a sideways move between $1.3300 and $1.3450 is likely, with minimal upside probability. The analyst remains skeptical of any reversal until key resistance is broken. "Until GBP/USD regains strength above $1.3460, sellers remain in control and caution is warranted."

Previously it was reported that GBP/USD is trading below all key moving averages, with strong seller dominance reflected by consistent bearish signals from major technical indicators including MACD, ADX, and an oversold daily RSI. Immediate resistance levels and dynamic barriers continue to cap any recovery, while persistent selling momentum and deep oversold readings suggest further downside risk unless a notable reversal occurs.

Source of Data: GBP Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.