GBP/USD Daily Forecast – British Pound Attempts To Gain More Ground Against U.S. DollarGBP/USD is trying to settle above the resistance at 1.3900.
GBP/USD Video 27.04.21.
British Pound Is Flat Against U.S. Dollar
GBP/USD continues its attempts to settle above the resistance at 1.3900 while the U.S. dollar is gaining some ground against a broad basket of currencies.
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The U.S. Dollar Index has recently made another attempt to settle above the resistance at the 91 level but failed to develop sufficient upside momentum. A move above this level will open the way to test of the resistance at 91.30 which will be bearish for GBP/USD.
Today, foreign exchange market traders will focus on the economic data from the U.S. CB Consumer Confidence report is projected to show that Consumer Confidence improved from 109.7 in March to 113 in April.
Case-Shiller Home Price Index is projected to increase by 0.8% in February after growing by 0.9% in January. On a year-over-year basis, Case-Shiller Home Price Index is projected to increase by 11.7%.
Traders will also continue to monitor the developments in U.S. government bond markets. Recent trading sessions have been relatively calm, but Treasury yields are slowly moving higher which may provide additional support to U.S. dollar.
GBP/USD settled above 1.3865 and continues to test the resistance at 1.3900. In case GBP/USD manages to settle above this level, it will head towards the next resistance at 1.3920. This resistance level has been tested during yesterday’s trading session and proved its strength.
If GBP/USD gets above the resistance at 1.3920, it will move towards the next resistance at 1.3950. A successful test of the resistance at 1.3950 will open the way to the test of the resistance at 1.3980.
On the support side, the nearest support level for GBP/USD is located at 1.3865. If GBP/USD declines below this level, it will head towards the next support which is located at the 20 EMA near 1.3850.
A move below the 20 EMA will push GBP/USD towards the support at the 50 EMA at 1.3830. In case GBP/USD gets below the 50 EMA, it will move towards the support at 1.3800.
For a look at all of today’s economic events, check out our economic calendar.