GBPUSD Potential Continuation to downsides
Hey Traders, in today's trading session we are monitoring GBPUSD for a selling opportunity around 1.25700 zone, GBPUSD is trading in a downtrend and currently is in a correction phase in which it is approaching the trend at 1.25700 resistance zone.
Adding a fundamental layer, The Federal Reserve's recent warning regarding potential changes to its monetary policy stance, particularly the indication that rate cuts in the upcoming months are unlikely, has cast a shadow over the GBPUSD pair. This cautious stance from the Fed signals a potential strengthening of the US dollar against major currencies, including the British pound. With expectations for a more hawkish Fed in the near term, investors are reevaluating their positions in riskier assets and considering safer havens such as the USD. Consequently, this sentiment shift could exert downward pressure on the GBPUSD pair as traders recalibrate their expectations and adjust their positions in response to the evolving monetary policy landscape outlined by the Federal Reserve.
Trade safe, Joe.
Adding a fundamental layer, The Federal Reserve's recent warning regarding potential changes to its monetary policy stance, particularly the indication that rate cuts in the upcoming months are unlikely, has cast a shadow over the GBPUSD pair. This cautious stance from the Fed signals a potential strengthening of the US dollar against major currencies, including the British pound. With expectations for a more hawkish Fed in the near term, investors are reevaluating their positions in riskier assets and considering safer havens such as the USD. Consequently, this sentiment shift could exert downward pressure on the GBPUSD pair as traders recalibrate their expectations and adjust their positions in response to the evolving monetary policy landscape outlined by the Federal Reserve.
Trade safe, Joe.
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