What Happened
The British Pound extended its losing streak on Thursday, with GBP/USD falling roughly 0.30% to trade around 1.3482 โ marking a third consecutive day of losses. The move lower was driven by a combination of broad US Dollar strength and growing political uncertainty out of the United Kingdom, keeping sellers firmly in control during the session.
Key Levels
Support:
- 1.3450 โ near-term floor and psychological round number that bulls need to defend
- 1.3400 โ stronger support zone and key technical base; a break here would signal a deeper pullback
Resistance:
- 1.3530 โ immediate overhead resistance where sellers have recently stepped in
- 1.3600 โ major resistance level and a key recovery target for bulls
Technical Picture
GBP/USD is trading below its short-term moving averages, suggesting the near-term trend has turned bearish. The three-day consecutive decline points to sustained selling pressure with no clear reversal signal yet. Momentum indicators are trending lower, and the pair risks further downside if the 1.3450 support level gives way.
What Traders Are Watching
The critical level to watch is 1.3450 โ a clean break below this price could accelerate selling toward 1.3400. On the upside, any recovery back above 1.3530 would be the first sign that sellers are losing control. Traders will also be monitoring US economic data releases and any developments in UK politics that could add volatility to the pair.
Bias
Bearish. The combination of a strengthening US Dollar and elevated UK political risk creates a negative backdrop for the pound. Until GBP/USD reclaims the 1.3530 level, the path of least resistance remains to the downside.
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