GBP/USD Plummets Below June Uptrend as Sterling Faces Crucial Support Test
The British Pound has suffered significant losses against the US Dollar in recent weeks, breaking the June uptrend and plummeting over 2.5% from its August high.
The decline of the GBP/USD pair has been steady, with sterling falling in four out of the past five weeks, including a September opening-range break that drove prices below the 200-day moving average for the first time since July.
Daily momentum is showing signs of divergence on the latest drop, highlighting the risk for near-term exhaustion. The immediate focus is on today's close with respect to 1.3345, which serves as a key support level.
The impending release of flash Manufacturing and Services PMI figures from both the UK and US will offer a fresh read on economic momentum following last week's Fed and Bank of England decisions.