What will Happen to GBP/USD?
The most important data of the last trading day of the week came from England. The January data from the retail sector, which constitutes an important part of the country’s economy, failed to meet expectations.
- Retail sales in January were well below expectations of a 0.9% increase – just 0.3%. On a year-on-year basis, it was 1.5% behind the 3.4% expectation.
- Core retail sales declined 0.2% in January, while a 0.7% increase was expected. On an annual basis, it did not meet expectations of 3.9% increase, up 2.6%.
Closing prices will be important as it is the last trading day of the week today when there is no significant data from the US. Let’s look at the levels that technical indicators need to pay attention to:
GBPUSD, which started falling before the data, accelerated the decline after data and fell by about 50 pips. The GBPUSD, which has been loosening well below 1.2420 now seems to consolidate its position here. If the 1.2385 level is downgraded, the new target levels will be 1.2350 and 1.2265. Above you should be able to stay above 1.2420 in order for the ascents to come. Assuming it is 1.2450 and 1.2490 can be tried.