Forex analysis - 2025-02-25 (10:11)

Forex data GBP/USD
Date : 2025-02-25
Opening : 1.26177
Higher up: 1.26388
Below: 1.26054
Closing : 1.26219

Economic news :
Dollar Weakens Despite Hawkish Fed And Fresh Tariff Warnings
World Markets Trade On A Mixed Note
Wipro Limited (WIT): Among the Best Low Priced Stocks to Invest In Now

Detailed analysis:
### Complete Forex Market Analysis - GBP/USD

#### 1. **Summary of price movements:**
- Open:** 1.26177
- Higher:** 1.26388
- Lowest:** 1.26054
- Closing:** 1.26219

The GBP/USD pair showed slight volatility during the session, with a variation of almost 33 pips between the high and low. The close near the open suggests a consolidation session with little directionality.

#### 2. **Current trend:**
Technical analysis shows that the GBP/USD pair is currently in a consolidation phase after a period of volatility. The Japanese candles indicate a degree of indecision in the market, which is often the case when prices open and close at similar levels. Traders are probably waiting for external triggers before taking positions.

#### 3. **Impact of Economic News:**

- Dollar Weakens Despite Hawkish Fed:** The dollar's weakness, despite the Fed's aggressive monetary policy, could be due to external factors such as trade uncertainties or mixed economic indicators in the United States. This slightly supports sterling against the dollar.

- Fresh Tariff Warnings:** Warnings of new tariffs may create risk aversion in the markets, which could strengthen the dollar as a safe haven, although this is not yet the case.

- World Markets Trade On A Mixed Note:** With global markets mixed, this reflects widespread uncertainty which can influence currency movements through capital flows.

#### 4. **Short-term forecast:**

- Bullish scenario:** If risk sentiment improves and the dollar continues to weaken, the pair could retest the 1.26388 resistance level. A break above this level could open the way to 1.26600.

- Bearish scenario:** In the event of a strengthening dollar or renewed risk aversion, the pair could fall back towards support at 1.26054. A break below this level could lead to a move towards 1.25800. A break below this level could lead to a move towards 1.25800.

- Consolidation:** Given the close near the open, it is also likely that the pair will continue to consolidate between 1.26100 and 1.26300 in the absence of new economic catalysts.

#### 5. **Conclusion:**
Traders should keep an eye on economic and political developments, including Fed announcements and tariff news, as these could trigger significant movements in GBP/USD. A cautious approach with well hedged positions is recommended due to the current uncertainty in the market.