Forex analysis - 2025-03-26 (01:09)

Forex data GBP/USD
Date : 2025-03-26
Opening : 1.29450
Higher up: 1.29490
Below: 1.29398
Closing : 1.29430

Economic news :
GBP/USD Risks Deeper Pullback as UK Inflation Slows and Spending Tightens
Futures Rise As Tariff Uncertainty Grows Ahead Of Liberation Day
ForexLive European FX news wrap: Sterling eases on lower UK inflation

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

**Date:** 2025-03-26
**Open:** 1.29450
**Higher:** 1.29490
**Lowest:** 1.29398
**Closing:** 1.29430

### Technical Analysis

1. **Current trend:**
The GBP/USD pair fell slightly during the session, opening at 1.29450 and closing at 1.29430. The narrow movements between the day's highs and lows indicate low volatility, which could be a sign of consolidation as we await more significant external catalysts.

2. **Support and Resistance:**
- Immediate support:** 1.29398 (day's low)
- Immediate resistance:** 1.29490 (day's high)
The pair seems to be oscillating in a narrow price range, which could suggest a period of consolidation before a more pronounced movement.

### Impact of Economic News

1. **UK inflation:**
News that UK inflation is slowing is having a bearish impact on sterling. A slowdown in inflation may reduce the pressure on the Bank of England to raise interest rates, making the pound less attractive to investors.

2. **Spending in the UK:**
Tighter spending in the UK could also weigh on economic growth, adding further pressure on sterling.

3. **Rate uncertainty and Liberation Day :**.
Uncertainty surrounding tariffs and future trade policies, particularly in relation to Liberation Day, could influence both the US dollar and sterling. This uncertainty could keep investors on hold, limiting significant movements.

### Short-Term Forecasts

1. **Bullish scenario:**
If the pair manages to break through the immediate resistance at 1.29490, we could see an attempt to test the higher levels around 1.29600. However, this would require positive news for the pound or weakness in the dollar.

2. **Bearish scenario:**
If support at 1.29398 is broken, the pair could continue to fall towards 1.29250, especially if economic data continues to show weakness on the British side or if the dollar strengthens.

3. **Neutral scenario:**
The pair could continue to consolidate in its current range, pending clearer economic or political developments. Traders could adopt a wait-and-see approach until new catalysts emerge.

In conclusion, the GBP/USD pair is currently influenced by complex economic and political factors that limit significant directional moves. Traders should keep a close eye on economic developments in the UK and the US for trading opportunities.