Sterling Technical Price Outlook: GBP/USD Weekly Trade Levels
- Sterling[1] technical trade level update – Daily & Intraday Charts
- GBP/USD[2] trading just above key uptrend support; near-term bullish invalidation at 1.29
- FOMC[3] & BoE interest rate decisions on tap this week
The British Pound[4] is down nearly 0.8% against the US Dollar[5] since the start of the week with Sterling continuing to range just above a critical support barrier ahead of Thursday’s Bank of England interest rate decision. These are the updated targets and invalidation levels that matter on the GBP/USD[6] weekly price chart heading into the release. Review my latest Weekly Strategy Webinar[7] for an in-depth breakdown of this Cable trade setup and more.
Sterling Price Chart - GBP/USD Weekly
Chart Prepared by Michael Boutros[8], Technical Strategist; GBP/USD on Tradingview[9]
Notes: In our last Sterling Weekly Price Outlook[10] we noted that the GBP/USD[11], “breakout failed at a major technical resistance zone last month and the focus is on a pullback into the start of the year. From a trading standpoint, looking for a larger setback towards confluence support for guidance – IF price is indeed heading higher on this stretch, losses should be limited to the 1.29-handle.” The outlook remains unchanged heading into this week’s FOMC[12] and BoE interest rate decisions.
Cable is now trading just above confluence support at 1.2905/21- a region defined by the 38.2% retracement[13] of the September advance and the late-December low. Note that basic channel support also converges on this zone and further highlights its technical significance- a break / close below this threshold would suggest a larger
