Gbpusd Declines Under Sma

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Gbpusd Declines Under Sma

Gbp/Usd Declines Under 1.2800, Losses 200 Sma To Bears

GBP/USD is down by 0.60% during the Tuesday session. This development comes after the release of the labour market data, which was mostly mixed.

The data showed an increase in the unemployment rate, with only 220,000 new jobs. That's almost 150,000 less than the last reading.

Gbp/Usd Faces Resistance At 1.2800

As of now, the GBP/USD is seen trading near 1.2792, with 1.2800 as the immediate resistance. On the way down, the nearest support is at 1.2750.

However, it should also be noted that it is the first time for GBP/USD to be below 1.2800 since August 2024. And if we look at the technical chart, it also shows GBP/USD is going through a bearish trend.

The D1 chart of GBP/USD shows that the 200 SMA is lost to bears. The 200 SMA was near 1.2817, and now the GBP/USD is already below 1.2800.

If the GBP/USD closes below the 200 SMA on a daily basis, it will confirm a direction change. In that case, pressure will increase on the GBP/USD to retest the support of 1.2700. Failure to hold the GBP sellers at this level will send the pair towards the 1.2664 (next support).

trend change in the GBP/USD will require a daily close above the 1.2800 level. In that case, the GBP/USD will likely try to reach 1.2833, which is also a key resistance. Beyond that, the key level of 1.2900 is present, which is a tough nut to crack.

We also need to remember that the 1.2993 is also important as that's where the 100 SMA is present. Meanwhile, the indicators like the RSI also hint at a downside for the GBP & upside for the USD.

As of now, the US Dollar has the upper hand against the GBP & other big currencies. Now, it remains to be seen for how long the Trump effect will keep the US Dollar supported.

It is worth noting that Trump may not want a stronger Dollar but his future policies are keeping the US Dollar supported for now.

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