GBP/USD is trading at $1.2945, down 0.31%, and is near a key pivot point at $1.2941. This level is critical; staying below could keep a bearish trend in place, with immediate support at $1.2916 and further down at $1.2885.
On the upside, a break above $1.2941 could attract buyers targeting resistance levels at $1.2966 and $1.3002. The 50-day EMA at $1.2947 and the 200-day EMA at $1.2983 indicate a slight bearish bias in the near term.
Euro under pressure as German production falls by 2.5%
The euro is facing downward pressure from weak data from Germany, where industrial production fell 2.5%, well below the expected 1.1% decline. The German trade balance also disappointed at 17.0 billion euros, missing the forecast of 20.8 billion euros.
While French retail sales showed slight growth of 0.5%, other indicators in the eurozone remain mixed.
Traders are keeping a close eye on upcoming Italian industrial manufacturing and retail sales data to gauge the euro’s near-term direction amid signs of economic weakness in Europe.