Free Forex Signals

GBP/USD Price Forecast: Resumes downside after testing Triangle breakdown zone

June 24, 2026

Written by:

GBP/USD slumps to near 1.3150 as Fed interest rate hike bets strengthen the US Dollar.
The Fed is expected to deliver at least one interest rate hike this year.
Investors seek fresh cues regarding the UK fiscal policy outlook.

The British Pound (GBP) trades 0.38% lower at around 1.3150 against the US Dollar (USD) during the European trading session on Wednesday. The GBP/USD pair faces intense selling pressure as the US Dollar outperforms due to hawkish Federal Reserve (Fed) bets.

At press time, the US Dollar Index (DXY), which gauges the Greenback’s value against six major currencies, trades 0.3% higher to near 101.70, the highest level seen in over a year.

According to the CME FedWatch tool, there is an almost 86% chance that the Fed will deliver at least one interest rate hike by the year-end.

Hawkish Fed bets are prompted by consistently rising both headline and core Consumer Price Index (CPI) in the past few months.

On the United Kingdom (UK) front, investors seek fresh cues regarding the fiscal policy outlook after Prime Minister (PM) Keir Starmer’s resignation. So far, Greater Manchester Mayor Andy Burnham has been recognized as a potential replacement for UK PM Starmer since the Labour Party suffered a major defeat in local elections in May.

GBP/USD technical analysis

GBP/USD trades lower at around 1.3150, extending its slide below former structural supports and keeping a clear bearish near-term bias. Spot now holds under the broken rising trend-line support of the Symmetrical Triangle formation around 1.3251 and the 10-day exponential moving average (EMA) at 1.3272, which together frame a nearby supply zone capping rebounds within the broader descending trend.

The Relative Strength Index (14) hovers just above oversold territory near 31, hinting that bearish momentum remains dominant even if short-lived bounces cannot be ruled out.

On the topside, initial resistance is seen at the reclaimed-bearish trend-line level near 1.3251, followed by the 10-day EMA at 1.3272; a daily close back above this cluster would be needed to ease immediate downside pressure.

On the downside, the pair is expected to find support near the November 21 low at 1.3038, followed by the psychological support at 1.3000.