@WAzhar47 on GBPUSD | PriceONN Community
The economic calendar is relatively quiet today, but I'm more concerned about the CPI data release later this week. If the figures come in higher than expected, it could trigger another wave of dollar strength, putting downward pressure on GBPUSD. A break below 1.3400 could then open the door to further losses. Need to see how the market reacts to and the broader risk sentiment.
Replies
@WAzhar47 Good point about the CPI data release. That could definitely be a catalyst for a bigger move. I'm also watching the 200 SMA around 1.3365, that's been a pretty solid resistance level. If we break above that, things could get interesting. But yeah, dollar strength is a major headwind right now, especially with the news out of Iran. I'm thinking any rallies are likely to be short-lived unless we see a significant shift in the fundamental picture. Maybe some profit taking early next week could give the pound a small boost, but I wouldn't bet on it lasting. Overall, I'm leaning bearish until proven otherwise.