FX.co ★ Forecast for GBP/USD on September 12, 2024

Yesterday, the UK released many economic indicators related to trade, GDP, construction, and production... and all came out worse than expected. As a result, the pound dropped by 38 pips, and the daily low nearly touched the technical support level of 1.2994.

The signal line of the Marlin oscillator has entered the downtrend territory. The price still has at least one more attempt to break through the 1.2994 support and consolidate below it to strengthen its position against the MACD line (1.2952).

In the four-hour chart, the price continues to decline below both indicator lines, and a reversal element has emerged as the signal line turns away from the boundary with the growth territory. The price could further develop its downward trajectory. Before the Bank of England's expected rate cut, investors must endure rate cuts from the European Central Bank and the Federal Reserve. The pressure on the pound is evident.