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GBP/USD Price Forecast: Rebounds on data, yet falls below 1.3100

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  • GBP/USD trades below 1.3100 after posting an upbeat retail sales report.
  • A daily close above 1.3100 could target further upside, with resistance at 1.3175 and 1.3200, followed by 1.3266.
  • A drop below 1.3100 may shift momentum to sellers, targeting 1.3058 and the September 11 low of 1.3001.

The Pound Sterling recovered some ground against the Greenback on Tuesday, following a better-than-expected retail sales report, yet it has fallen below the 1.3100 figure as the North American session progresses. The GBP/USD trades at 1.3090, virtually unchanged.

GBP/USD Price Forecast: Technical outlook

Price action shows some consolidation at around the 1.3050 – 1.3120 area for the second straight day. Even though momentum shifted bearish, according to the Relative Strength Index (RSI), the GBP/USD printed a leg-up on Tuesday and pierced the 1.3100 area.

If bulls push prices higher and achieve a daily close above the previously mentioned key resistance level, it will open the door for further upside.

That outcome will expose the October 4 high at 1.3175. Next will be the 1.3200 figure, followed by the August 27 daily high of 1.3266, ahead of the 1.3300 mark.



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