The GBP/USD pair is trading at $1.27310, up 0.38%, supported by a bullish breakout above the pivot point at $1.26833. The pair finds immediate resistance at $1.27677, with further levels to watch at $1.28050 and $1.28463. On the downside, key support lies at $1.26455, followed by $1.25890 and $1.25318.

The 50-day EMA at $1.26422 strengthens near-term support, while the 200-day EMA at $1.27035 provides an intermediate threshold. A sustained move above $1.26833 keeps the pair’s bullish momentum intact, targeting higher resistance zones.

However, a break below this level could signal a reversal toward support at $1.25890. For now, the pair remains in an upward trajectory, with cautious optimism prevailing.

Euro Weakened as German Retail Sales Slump

The Euro faced pressure as German retail sales declined by 1.5%, well below the forecast of -0.5%. Meanwhile, German import prices rose 0.6%, signaling higher costs.

French data showed consumer spending fell 0.4%, with inflation slightly easing as the French prelim CPI dropped to -0.1%.

Core CPI Flash Estimate y/y is expected at 2.8%, with German unemployment change at 20K. All eyes are on Buba President Nagel’s remarks later today.

EUR/USD Technical Forecast