GBP/USD HOLDS BELOW 1.3500 AS MARKETS AWAIT UK GDP
GBP/USD traded below the 1.3500 psychological level during Thursday’s Asian session, extending its softer tone for a second consecutive day as the US Dollar remained relatively firm.
Market attention is now focused on the upcoming UK second-quarter GDP report, with traders assessing whether the latest growth data could influence expectations surrounding the British Pound and the near-term direction of GBP/USD.
At the same time, concerns that volatile oil prices could maintain inflationary pressure continue to keep expectations for further Federal Reserve tightening in focus. This has provided some support to the US Dollar and remains relevant for GBP/USD pricing.
From a technical perspective, GBP/USD has largely traded within a one-week range, suggesting limited directional conviction in the near term. On the four-hour chart, the pair remains above its 100-period Simple Moving Average near 1.3415, which continues to provide an important lower technical reference.
Momentum indicators remain mixed. The Relative Strength Index is close to the neutral 50 level, while the Moving Average Convergence Divergence indicator is slightly below zero, indicating that momentum remains subdued rather than strongly directional.
The 1.3491 area represents an important near-term pivot. Below this level, the 100-period SMA near 1.3415 remains the next major technical reference identified in the supplied analysis.
Market participants will continue to monitor UK second-quarter GDP, Federal Reserve rate expectations and the 1.3491–1.3415 technical area, with GBP/USD currently remaining below the key 1.3500 psychological level.
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