Forex analysis - 2025-02-26 (04:52)

Forex data GBP/USD
Date : 2025-02-26
Opening : 1.26717
Higher up: 1.26776
Below: 1.26486
Closing : 1.26511

Economic news :
GBP/USD Forecast Turns Negative Amid US Inflation, Tariffs
Dollar Weakens Despite Hawkish Fed And Fresh Tariff Warnings
World Markets Trade On A Mixed Note

Detailed analysis:
**Comprehensive analysis of the GBP/USD Forex market**.

**Date:** 2025-02-26
**Open:** 1.26717
**Higher:** 1.26776
**Lowest:** 1.26486
**Closing:** 1.26511

**Technical analysis:**

The GBP/USD pair fell slightly during the session, closing at 1.26511 after opening at 1.26717. The pair reached a high of 1.26776 and a low of 1.26486, indicating moderate volatility. The overall movement for the day shows bearish pressure, albeit limited.

**Current trends:**

The current trend looks slightly bearish, reflecting some uncertainty in the market. The close below the opening level suggests that sellers have taken the upper hand, although the amplitude of the movement remains limited. This could indicate a short-term consolidation, with traders waiting for clearer signals before taking larger positions.

**Impact of Economic News:**

1. **Negative forecasts for GBP/USD:** Negative forecasts for the pair, due to US inflation and tariffs, are likely to have contributed to the downward pressure. US inflation worries may strengthen the dollar, making sterling less attractive.

2. **Dollar weakening:** Although the dollar is weakening despite an aggressive Fed, this has not been enough to support sterling significantly. Warnings of new tariffs add to the uncertainty, creating a complex dynamic where the pair's movements are dictated not only by the relative strength of the currencies, but also by trade tensions.

3. **Mixed global markets:** Mixed global markets reflect risk aversion which could influence capital flows, indirectly impacting GBP/USD. Investors may be looking for safe-haven assets, which could temporarily strengthen the dollar.

**Short-term forecast:**

1. **Bullish scenario:** If trade tensions ease and UK economic data improves, the pair could rebound towards short-term resistance around 1.2700. However, this would also require the dollar to weaken or global markets to stabilise.

2. **Bearish scenario:** If US inflation worries persist and there are further negative developments on the tariffs front, the pair could continue to fall, testing support around 1.2600. A break below this level could pave the way for a more pronounced decline. A break below this level could pave the way for a more pronounced decline.

3. **Neutral scenario:** The pair could also enter a consolidation phase, oscillating between 1.2640 and 1.2680, pending clearer economic developments.

In conclusion, the GBP/USD pair is currently being influenced by a multitude of economic and geopolitical factors. Traders should keep a close eye on economic announcements and political developments to identify potential trading opportunities.