Pair: GBP/USD
Timeframe: 4-Hour (4H)
Trade Type: Long
Entry: 1.2900 - 1.2950
Stop Loss: 1.2850 (below previous structure low)
Technical Analysis:
GBP/USD has been trending within a well-defined ascending channel, characterized by higher highs and higher lows. The recent price action saw a pullback toward the lower boundary of this channel, around the 1.2860 region, which coincides with the 200-period Simple Moving Average (SMA) on the 4-hour chart, providing a confluence of support. A bullish candlestick pattern or a bounce from this support zone could signal a potential continuation of the uptrend toward the upper channel resistance near 1.3270. 
Fundamental Analysis:
Recent economic developments support a bullish outlook for GBP/USD:
• UK Inflation Data: The UK’s Consumer Price Index (CPI) rose by 2.8% in February, down from 3% in January and below the expected 2.9%. This easing inflation may influence the Bank of England’s monetary policy decisions, potentially leading to a more accommodative stance, which can be supportive of the GBP. 
• US Economic Factors: The US is set to impose new tariffs starting in April, which could impact market sentiment and influence USD strength. Additionally, upcoming US PMI data may provide further insights into economic conditions that could affect USD performance.
Timeframe: 4-Hour (4H)
Trade Type: Long
Entry: 1.2900 - 1.2950
Stop Loss: 1.2850 (below previous structure low)
Technical Analysis:
GBP/USD has been trending within a well-defined ascending channel, characterized by higher highs and higher lows. The recent price action saw a pullback toward the lower boundary of this channel, around the 1.2860 region, which coincides with the 200-period Simple Moving Average (SMA) on the 4-hour chart, providing a confluence of support. A bullish candlestick pattern or a bounce from this support zone could signal a potential continuation of the uptrend toward the upper channel resistance near 1.3270. 
Fundamental Analysis:
Recent economic developments support a bullish outlook for GBP/USD:
• UK Inflation Data: The UK’s Consumer Price Index (CPI) rose by 2.8% in February, down from 3% in January and below the expected 2.9%. This easing inflation may influence the Bank of England’s monetary policy decisions, potentially leading to a more accommodative stance, which can be supportive of the GBP. 
• US Economic Factors: The US is set to impose new tariffs starting in April, which could impact market sentiment and influence USD strength. Additionally, upcoming US PMI data may provide further insights into economic conditions that could affect USD performance.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.