Forex data GBP/USD
Date : 2025-05-12
Opening : 1.32695
Higher up: 1.32991
Below: 1.31394
Closing : 1.31810

Economic news :
Global FX Market Summary: De-escalation of US-China Trade Tensions, US Dollar , Market Sentiment 12 May 2025
Dollar Extends Gains As Trade Tensions Ease
U.S.-China Trade Deal Buoys Markets

Detailed analysis:
Analysis of the forex market for the GBP/USD pair on 12 May 2025 reveals a number of interesting dynamics influenced by recent global economic developments.

### Technical Analysis
- The pair opened at 1.32695 and closed at 1.31810, indicating a drop for the day. This drop could signal increased selling pressure throughout the session.
- High and Low:** The high at 1.32991 and the low at 1.31394 show a significant range of movement, suggesting increased volatility on the day.

### Fundamental Analysis
- Economic News:** News of the de-escalation of trade tensions between the United States and China has had a positive impact on the US dollar. In general, an easing of trade tensions tends to strengthen the dollar as investors gain confidence in the US economy.
- Impact on GBP/USD:** The GBP/USD pair is likely to have come under downward pressure from the rise in the US dollar, making sterling less attractive against a stronger dollar.

### Current trend
- Impact on the GBP/USD Pair:** The current trend shows that the GBP/USD is under pressure following the strengthening of the dollar. The decline could be attributed to the improving US economic outlook, which is making the dollar more attractive.

### Short-Term Forecasts
- Possible scenarios:**
1. **If the positive sentiment around the dollar continues, the pair could continue to fall, potentially testing lower support levels around 1.3100.
2. **Stabilisation:** If the pair finds technical support or if positive news emerges about the UK economy, a sideways movement or slight recovery could occur.
3. **A technical correction could occur if traders feel the pair is oversold in the short term, which could push the pair back towards 1.3250.

### Conclusion
The GBP/USD pair is currently being influenced by external factors, notably developments in trade tensions between the US and China. In the short term, the direction of the pair will depend heavily on the flow of economic news and perceptions of global risk sentiment. Traders should keep a close eye on key support and resistance levels as well as macroeconomic news to adjust their strategies.