GBP/USD Weekly Outlook: Pound Sterling recovery loses momentum ahead of a big week.
Industry News
The British Pound closed the week higher against the US Dollar, despite losing traction near the 1.3600 mark. Early-week gains were fuelled by improved global risk sentiment and easing trade tensions, which weakened the USD’s safe-haven appeal. Optimism over US trade deals with Japan, Indonesia, and the Philippines – and potential progress with the EU and China – supported GBP/USD upside.
Wall Street’s rally, led by strong Alphabet earnings, further boosted risk appetite. However, sentiment turned cautious later in the week amid renewed geopolitical tensions between Thailand and Cambodia, and anticipation around President Trump’s rare visit to the Fed.
UK economic data disappointed. July’s Services PMI dropped to 51.2 (vs. 53 expected), and June’s retail sales missed forecasts – both weighing on the Pound.
🔍 What to Watch This Week
With the August 1 tariff deadline approaching, GBP/USD traders face a data-packed US calendar:
- Tuesday: JOLTS Job Openings, CB Consumer Confidence
- Wednesday: Q2 GDP (advance estimate), Fed rate decision
- Friday: July Nonfarm Payrolls, ISM Manufacturing PMI, Fed speakers post-blackout
📊 Technical Snapshot
- Trend: Bearish bias emerging
- Support: 1.3365, 1.3325–1.3300, 1.3250
- Resistance: 1.3600, 1.3643 (Feb 2022 high), 1.3700, 1.3750
- RSI: Below midline near 47, favoring sellers
GBP/USD remains vulnerable below key moving averages, with sellers likely to stay in control unless bulls reclaim 1.3600 and beyond.
