The GBP/USD pair is trading at $1.26179, up slightly by 0.01%, reflecting cautious market sentiment. The pivot point at $1.25983 acts as a crucial support level, with a break below potentially leading to sharper selling towards $1.25592 and $1.25140.
On the upside, immediate resistance lies at $1.26435, followed by stronger hurdles at $1.26970 and $1.27566.
Despite the modest rebound, the 50-day EMA of $1.27719 and the 200-day EMA of $1.29416 highlight a bearish long-term outlook. Buyers need to push decisively above $1.26435 to maintain the upside momentum.
Euro gains slightly thanks to positive figures, ECB in focus
The euro saw modest support on Friday as German wholesale prices rose 0.4%, and France’s final CPI beat expectations by 0.3%. Italy’s trade balance improved significantly and reached €2.58 billion, compared to €1.34 billion previously.
Looking ahead, Monday’s speech from ECB President Lagarde and the updated trade balance figures (expected €7.9 billion) could provide further direction for the euro. The markets remain sensitive to any monetary policy tips from Lagarde during the G20 meetings.