GBPUSD Slides to New Multi-Month Low, Bears Set Sights on 1.20 Zone

The GBPUSD pair dropped to a 14-month low on Thursday morning, with the steep bearish trend from the 1.2575 lower high extending into a third consecutive session.

The pound’s weakness was driven by a stronger dollar, concerns over Britain’s fiscal outlook, and uncertainty surrounding Trump’s proposed tariff plans.

A bearish technical setup on the daily chart, alongside multiple weekly moving average bear crosses, reinforces the negative near-term outlook. The break below the previous low of 1.2299 (from April 2023) added to the downside momentum.

Key bearish targets include the 1.2050 zone, marking a higher base from October 2023, and the psychological support at 1.2000. Any corrective moves are expected to be limited before a renewed push lower.

Immediate resistance lies around the 1.2360 level (broken 76.4% Fibonacci support), with further recovery potentially stalling near the 1.2500 zone (former base and round figure), offering stronger selling opportunities.

Res: 1.2360; 1.2400; 1.2455; 1.2500
Sup: 1.2238; 1.2186; 1.2050; 1.2000