GBP/USD Plunges 2.5% in Biggest Weekly Drop Since May

The British Pound has experienced its biggest weekly decline since May after falling nearly 2.5% from its August high.

The break below the September opening range has put GBP/USD at a critical inflection point, with the bears testing major Fibonacci support around the 61.8% retracement of the June rally at 1.3345.

A recovery above the yearly open would be needed to strengthen the case that a more significant low is forming, while a break below this threshold could suggest further decline.

The near-term technical picture has been materially weakened by the latest move, and the focus shifts to incoming growth data for clues on whether the current weakness has further to run.