GBPUSD – Short-Term Downside Pressure Returns

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On the 1H chart, GBPUSD failed to break above the 1.3460 resistance and quickly reversed lower. The EMA 34 & 89 are positioned just above price, acting as additional barriers reinforcing the bearish bias. The nearest support sits at 1.3390 – if broken, the market could extend its decline toward lower ranges.

Recent news: The British pound remains under pressure as UK economic data continues to disappoint, while the US dollar gains strength on the back of a stronger-than-expected ISM Services PMI report. This combination makes it difficult for GBPUSD to sustain any rebound.

Trading idea:
Favor shorts below 1.3460
Short-term target: 1.3390
A decisive break below 1.3390 could open the door for deeper downside moves.

Bottom line: GBPUSD is leaning toward a bearish scenario, with both technicals and fundamentals currently favoring the US dollar.

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