Forex analysis - 2025-02-28 (23:52)

Forex data GBP/USD
Date : 2025-02-28
Opening : 1.26001
Higher up: 1.26220
Below: 1.25589
Closing : 1.25740

Economic news :
Cable falls to a ten-day low in a sharp turn as alliances begin to crumble
Trade Jitters, Tech Rout And PCE Worries Hit Market Sentiment
ForexLive European FX news wrap: Dollar remains steady going into February home straight

Detailed analysis:
For a full analysis of the GBP/USD forex market on 28 February 2025, here is an overview:

### Technical Analysis

#### Current Trend
- Open:** 1.26001
- Closing:** 1.25740
- Higher:** 1.26220
- Lower:** 1.25589

The GBP/USD opened at 1.26001 and closed at 1.25740, indicating a slight decline over the course of the day. The high of 1.26220 and the low of 1.25589 show moderate volatility. Closing below the opening price suggests selling pressure that intensified as the day progressed.

### Fundamental Analysis

#### Major Economic News
- Cable falls to a ten-day low in a sharp turn as alliances begin to crumble:** This indicates a loss of confidence in sterling, possibly due to political or economic uncertainties in the UK. The mention of alliances beginning to crumble could refer to internal political tensions or strained international relations.

- Trade Jitters, Tech Rout And PCE Worries Hit Market Sentiment:** Trade worries and a pullback in technology stocks, combined with concerns about the US Personal Consumption Expenditure (PCE) price index, appear to be weighing on market sentiment. This could strengthen the US dollar if investors seek safe-haven assets.

- ForexLive European FX news wrap: Dollar remains steady going into February home straight :** The dollar's stability can be attributed to increased demand for the currency as a safe-haven asset, especially in times of economic uncertainty.

### Impact of Economic News

Recent economic news indicates downward pressure on sterling. Political and economic uncertainties in the UK, combined with global concerns about trade and technology, are likely to have strengthened the US dollar. The dollar's stability in the face of global economic concerns and British political tensions has contributed to the fall in the GBP/USD pair.

### Short-Term Forecasts

There are several possible scenarios for future sessions:

1. **Bearish scenario:** If political tensions in the UK worsen or global economic concerns persist, sterling could continue to weaken against the dollar. In this case, support around 1.2550 could be tested.

2. **Bullish scenario:** If positive news emerges regarding UK policy or if global trade concerns ease, the pound could regain ground. Short-term resistance could be found around 1.2620, the day's high.

3. **Sideways scenario:** In the absence of significant economic news, the pair could consolidate in a narrow range, around current levels, while awaiting the next directional impulse.

In conclusion, traders should remain cautious, as political and economic factors can quickly change the market landscape.