GBP/USD Price Analysis: 1.1700 appears under threat after bear flag confirmation
GBP/USD is closing in on 1.1700, extending Friday’s decline amid an extension of risk-off sentiment and the US dollar recovery. Asian traders react negatively to Fed Chair Jerome Powell’s Jackson Hole remarks, as reflective of the 0.80% drop in the US S&P 500 futures in opening trades. Expectations of higher rates for longer have ramped up after Powell’s comments, stoking growth fears and boding ill for global stocks.
GBP/USD Weekly Forecast: Braces for more pain in the NFP week ahead
Having lost roughly 300 pips in the previous week, GBP/USD ended the week marginally lower, below the 1.1800 mark. The US dollar recovery and hawkish Fed rate hike expectations were the key catalysts that smashed the currency pair to the lowest level in two months at 1.1717. Looking ahead, GBP bulls brace for more pain as US Nonfarm Payrolls (NFP) grab attention in a holiday-shortened week.