Daily Analysis For GBP/USD 03-05-2023

Daily Analysis For GBP/USD 03-05-2023

GBP/USD Analysis
GBP/USD
Economic Events and Scenario for GBP/USD
Economic Events: -
GMTEventImpactCurrency
00:00(Australia) Ai Group Industry IndexMediumAUD
00:00(Australia) Judo Bank Services PMIHighAUD
00:00(Australia) Judo Bank Composite PMILowAUD
00:00(Australia) Ai Group Construction IndexLowAUD
00:00(Australia) Ai Group Manufacturing IndexLowAUD
01:00(China) May DayNoneCNY
01:00(Japan) Constitution Memorial DayNoneJPY
02:30(Australia) Retail Sales MoMHighAUD
02:30(Australia) RBA Chart PackLowAUD
07:45(France) Budget BalanceLowEUR
09:00(Italy) Unemployment RateHighEUR
10:00(Cyprus) Unemployment RateLowEUR
10:00(Euro Area) Unemployment RateHighEUR
10:00(France) New Car Registrations YoYLowEUR
10:00(United Kingdom) 2-Year Treasury Gilt AuctionLowGBP
10:30(Germany) 7-Year Bund AuctionLowEUR
11:00(Belgium) New Car Registrations YoYLowEUR
11:00(Portugal) Industrial Production YoYLowEUR
11:00(Portugal) Industrial Production MoMLowEUR
11:10(European Union) 6-Month Bill AuctionLowEUR
11:10(European Union) 3-Month Bill AuctionLowEUR
11:30(Portugal) Budget BalanceLowEUR
12:00(United States) MBA 30-Year Mortgage RateMediumUSD
12:00(United States) MBA Mortgage ApplicationsLowUSD
12:00(United States) MBA Mortgage Refinance IndexLowUSD
12:00(United States) MBA Mortgage Market IndexLowUSD
12:00(United States) MBA Purchase IndexLowUSD
12:30(Germany) New Car Registrations YoYLowEUR
13:15(United States) ADP Employment ChangeHighUSD
14:30(United States) Treasury Refunding AnnouncementLowUSD
14:45(United States) S&P Global Composite PMIMediumUSD
14:45(United States) S&P Global Services PMIHighUSD
15:00(United States) ISM Non-Manufacturing PricesLowUSD
15:00(United States) ISM Non-Manufacturing New OrdersLowUSD
15:00(United States) ISM Non-Manufacturing EmploymentMediumUSD
15:00(United States) ISM Non-Manufacturing PMIHighUSD
15:00(United States) ISM Non-Manufacturing Business ActivityLowUSD
15:00(United States) Total Vehicle SalesLowUSD
15:30(United States) EIA Refinery Crude Runs ChangeLowUSD
15:30(United States) EIA Crude Oil Stocks ChangeMediumUSD
15:30(United States) EIA Distillate Stocks ChangeLowUSD
15:30(United States) EIA Heating Oil Stocks ChangeLowUSD
15:30(United States) EIA Gasoline Production ChangeLowUSD
15:30(United States) EIA Crude Oil Imports ChangeLowUSD
15:30(United States) EIA Gasoline Stocks ChangeMediumUSD
15:30(United States) EIA Cushing Crude Oil Stocks ChangeLowUSD
15:30(United States) EIA Distillate Fuel Production ChangeLowUSD
16:30(United States) 17-Week Bill AuctionLowUSD
19:00(United States) Fed Interest Rate DecisionHighUSD
19:30(United States) Fed Press ConferenceHighUSD
23:45(New Zealand) Building Permits MoMLowNZD
Today's Scenario: - The GBP/USD pair is currently trading sideways around the 1.2470 level, following a recovery from 1.2440 during the early Toyo session. The Cable has managed to hold onto its crucial support level of 1.2440 for the time being. However, uncertainty still looms over the market ahead of the Federal Reserve's (Fed) interest rate policy announcement.
In addition to the uncertainty surrounding the Fed's announcement, concerns over a delay in the United States debt ceiling and deepening fears of a recession have negatively impacted investor confidence. This was reflected in the S&P500 futures, which showed more losses during the early Asian session after an extremely bearish Tuesday.
Buy Scenario: - GBP/USD pair is currently trading within a Rising Channel chart pattern. However, the current variation of the pattern is showing a lack of strength and is indicating a loss in upside momentum. The upper part of the chart pattern is plotted from the April 4 high at 1.2525, while the lower portion is placed from the April 3 low at 1.2275.
The Cable is currently trading below the 20-period Exponential Moving Average (EMA) at 1.2488, which suggests that the US Dollar bulls have an advantage over their British Pound counterparts.
At the same time, the Relative Strength Index (RSI) (14) is oscillating within the 40.00-60.00 range, indicating that market participants are awaiting the Federal Reserve's monetary policy announcement before taking any major action.
If the GBP/USD pair decisively breaks above the April 14 high at 1.2546, then it could move towards a fresh 10-month high at 1.2597, which was last seen on June 8, 2022. Breaking this level could expose the asset to the May 27 high at 1.2667. Till we do not advise to buy GBP/USD.
Sell Scenario: - On the other hand, if the pair slips below the April 10 low at 1.2345, it could face support at the March 30 low of 1.2294, followed by the March 27 low at 1.2219. Till then we do not advise selling GBP/USD.
Support and Resistance Level: -
SupportResistance
S1 1.2431-R1 1.2508
S2 1.2395-R2 1.2548
S3 1.2355-R3 1.2584

Discussion

default man
Explore
Trade360 Review 2023: Account Options, Trading Hours, Security Measures, Pros and Cons

Trade360 Review 2023: Account Options, T...

Finexo Review 2023: Account Types, Spreads, Customer Support and Expert Analysis

Finexo Review 2023: Account Types, Sprea...

eToro Review 2023: Trading Platforms, Instrument Variety Pros and Cons

eToro Review 2023: Trading Platforms, I...

Comprehensive Review of FXTrading.com: Pros and Cons of a Leading Trading Platform

Comprehensive Review of FXTrading.com: P...

Sky Alliance Markets Review 2023: Pros, Cons, and Trading Features

Sky Alliance Markets Review 2023: Pros, ...

;