GBP/USD Forecast: Cable at crossroads, Nonfarm Payrolls serve as make-or-break moment

A 180-degrees turn back down or 180 pips up to the previous peak? One thing is all but certain – volatility is set to surge once the US Nonfarm Payrolls are released. Good Friday is a holiday in most parts of the world, but America’s Bureau of Labor Statistics still publishes the all-important job figures on this day.

The US is on an accelerating recovery path amid a solid vaccination campaign, state reopenings, two rounds of stimulus checks – and optimism about a new infrastructure package. While the latter development may take time to come into fruition, US industry is already firing on all cylinders. The ISM Manufacturing Purchasing Managers’ Index smashed expectations with a score of 64.7 in March, the highest since 1983. Read more…

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GBP/USD Price Analysis: Teasing a falling wedge breakout, focus on NFP, Friday’s close

GBP/USD consolidates the recent recovery gains well above the 1.3800 mark, as the bulls catch a breather ahead of the critical US Nonfarm Payrolls release. At the time of writing, the cable adds 0.06% on the day, trading at 1.3836, having failed to resist above the 1.3850 level.

From a near-term technical perspective, the spot is on the verge of a falling wedge breakout on the daily chart. However, daily closing above the falling trendline resistance at 1.3843 is needed to validate an upside break. That level is the strong resistance now support of the 21 and 50-daily moving averages (DMA). Read more…

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GBP/USD: Firm around mid-1.3800s amid US dollar weakness, holiday mood

GBP/USD picks up bids around 1.3850, the highest since March 23, during early Friday. Although the Good Friday holiday restricts the cable’s moves, the US dollar’s sustained weakness and the UK government’s ability to celebrate the national festival, coupled with recently upbeat data, seem to favor the bulls ahead of the key US Nonfarm Payrolls (NFP) data.

While staying on its stimulus spree, the British government announced another relief to the locals by helping “2,700 museums, theatres, cinemas and arts venues in receiving a share of 400 million pounds in grants and loans,” per Reuters. Read more…

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