GBP/USD: technicals & fundamentals
GBP/USD consolidates in the $1.6120/1.6020 range on Tuesday. The pair failed to sustain gains above the $1.6100 mark as the UK industrial output remained flat in August. Manufacturing production grew by 0.1% in August from 0.3% a month ago.
The technical picture still remains bearish. The pair holds below the trend line resistance, descending from the local $1.6520 high. The price formed a strong bullish candle on Monday, but it still couldn’t overcome the Friday’s bearish candle. We expect the price to break below the $1.5950 resistance in the coming days – the Fed’s minutes on Wednesday could act as a trigger. The picture remains clearly bearish below $1.6300.
Chart. H4 GBP/USD