GBP/USD: UK CPI Keeps Cable in a Downtrend

2024.10.17 05:47

is trading at the lows after UK CPI data softened more than expected, to 1.7% y/y as figures showed yesterday. his gives the Bank of England room for more rate cuts, potentially weakening Cable further.

However, we now have five waves down within a 5th wave, and there is RSI divergence showing up, indicating that the pair might be approaching some support.

This suggests that we could see a corrective recovery in the coming days, but any bounce is likely to be temporary and part of a larger downtrend in play.

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