GBPUSD

The GBP/USD pair seeks a reaction with movements in the Dollar Index as it anticipates the CPI data to be released in the USA. Trump's tariffs and the US PPI data falling short of expectations have caused partial pullbacks despite the dollar index reaching the 110 level. Under these conditions, potential impacts on the Sterling may be observed due to the pending release of UK CPI data as well. The forthcoming US CPI data possesses the potential to reshape expectations for the Fed's rate cuts in the first half of the year.

According to the technical outlook, the GBP/USD pair continues to remain pressured below the 1.2270 – 1.2315 resistance zone. Sustained movements below 1.2185 in the pair increase the expectation of a pullback towards the 1.2060 support level observed in October 2023. In upward movements, the 1.223 and 1.227 levels can be monitored as initial resistances. The RSI indicator is around 40 levels, showing a negative trend. Based on the previous day's price movement, a 0.09% decrease is observed in the pair.