【GBPUSD Strategy】Economic Data Shows Recession, GBPUSD Weakens in the Short Term

Fundamental Analysis:Last Friday, the University of Michigan's Consumer Confidence Index plummeted from 64.7 to 57.9, while one-year inflation expectations surged from 4.3% to 4.9%. This reflects market concerns about the severity of Trump's tariff war. The uncertainty surrounding the economic outlook has forced the Federal Reserve to maintain a cautious, dovish stance, weakening the dollar and benefiting non-US currencies. However, UK manufacturing data continued to decline, January's three-month GDP growth rate fell below market expectations, and the UK has yet to experience the actual impact of the US tariff war. These factors have caused GBPUSD to gradually weaken in the short term.

Technical Analysis:On the 30-minute chart, GBPUSD continues to form lower highs and lower lows, while the bearish cross of the moving averages remains intact. The overall structure is bearish. Therefore, for those without positions, consider entering short on a rally during the day. However, be aware that the market may encounter bullish resistance at lower levels, and it's not advisable to hold short positions for too long.

Trading Recommendation: Short GBPUSD on a bounce to 1.2944, targeting 1.2910, with a stop loss at 1.2966.
Support: 1.2910   Resistance: 1.2965

(The above content is for reference only and does not represent the platform’s stance. Stay firm with your strategy and implement appropriate risk control.)