START_HTML –> POUND STERLING ANALYSIS & TALKING POINTSUK debt a cause for concern long-term.Cable traders look to FOMC minutes for guidance.GBP/USD faces key resistance at 1.2548.Elevate your trading skills and gain a competitive edge. Get your hands on the British Pound Q4 outlook today for exclusive insights into key market catalysts that should be on every trader’s radar. Recommended by Warren Venketas Get Your Free GBP Forecast GBPUSD FUNDAMENTAL BACKDROPThe British pound stays supported by a weaker US dollar and a hawkish Bank of England (BoE) Governor Andrew Bailey who made some critical statements regarding inflation and the future of monetary policy (see below):“Inflation risks may need more aggressive action.”“The inflation data for October ,released last week, were welcome news, but it is much too early to declare victory.”“I am on the watch for signs that inflation will persist.”“The Middle East events add to upside energy price risks.”“It is far too early to be thinking about rate cuts.”Earlier this morning, UK public sector borrowing data (refer to economic calendar below) showed actual figures significantly beating estimates although the figure remains deeply negative, and the lowest since June 2023. Debt to GDP remains above the 100% due to stimulus/support measures by the government during the COVID-19 pandemic. Sustained high levels of inflation and interest rates have exacerbated this deficit as the majority of the UK’s debt is inflation linked. High debt levels make it difficult for economies to absorb additional economic shocks while exposing the nation to credit downgrades.Later today, the FOMC minutes will come into focus from the November rate announcement. The Fed pushed back against rate cut expectations and maintained a ‘higher for longer’ narrative but recognized the impact of high rates on the US economy (labor and inflation). More of the same is expected via the minutes but with recent US data showing a slowing economy and a weakening jobs market, any dovish messaging could be capitalized on by USD bears.GBP/USD ECONOMIC CALENDAR (GMT +02:00)Source: DailyFX Economic Calendar Trade Smarter – Sign up for the DailyFX Newsletter Receive timely and compelling market commentary from the DailyFX team Subscribe to Newsletter TECHNICAL ANALYSISGBP/USD DAILY CHARTChart prepared by Warren Venketas, IGDaily GBP/USD price action above is trading above the 1.2500 psychological handle for the first time since early September and retains it’s hold above the 200-day moving average (blue). Bulls are being held back around the 1.2548 swing resistance level that has been a key inflection point from April 2023. As cable approaches overbought territory on the Relative Strength Index (RSI), bulls may become wary short-term. It is important to remember that the UK Autumn statement will likely stir volatility across GBP pairs tomorrow as markets head into a less volatile Thanksgiving holiday later in the week.Key resistance levels: 1.2548, 1.2674, 1.2769Key support levels: 1.2400, 1.2348, 1.2276BULLISH IG CLIENT SENTIMENT (GBP/USD)IG Client Sentiment Data (IGCS) shows retail traders are currently net LONG on GBP/USD with 52% of traders holding long positions (as of this writing).Curious to learn how market positioning can affect asset prices? Our sentiment guide holds the insights—download it now! Introduction to Technical Analysis Market Sentiment Recommended by Warren Venketas Contact and followWarrenon Twitter:@WVenketas!function(){function errMsg(errCode,msg){return(msg||””)+” (SystemJS Error#”+errCode+” https://github.com/systemjs/systemjs/blob/main/docs/errors.md#”+errCode+”)”}var baseUrl,baseEl,hasSymbol=”undefined”!=typeof Symbol,hasSelf=”undefined”!=typeof self,hasDocument=”undefined”!=typeof document,envGlobal=hasSelf?self:global,backslashRegEx=(!hasDocument||(baseEl=document.querySelector(“base[href]”))&&(baseUrl=baseEl.href),baseUrl||”undefined”==typeof location||-1!==(baseEl=(baseUrl=location.href.split(“#”)[0].split(“?”)[0]).lastIndexOf(“/”))&&(baseUrl=baseUrl.slice(0,baseEl+1)),/\\/g);function resolveIfNotPlainOrUrl(relUrl,parentUrl){if(“/”===(relUrl=-1!==relUrl.indexOf(“\\”)?relUrl.replace(backslashRegEx,”/”):relUrl)[0]&&”/”===relUrl[1])return parentUrl.slice(0,parentUrl.indexOf(“:”)+1)+relUrl;if(“.”===relUrl[0]&&(“/”===relUrl[1]||”.”===relUrl[1]&&(“/”===relUrl[2]||2===relUrl.length&&(relUrl+=”/”))||1===relUrl.length&&(relUrl+=”/”))||”/”===relUrl[0]){var parentProtocol=parentUrl.slice(0,parentUrl.indexOf(“:”)+1),pathname=”/”===parentUrl[parentProtocol.length+1]?”file:”!==parentProtocol?(pathname=parentUrl.slice(parentProtocol.length+2)).slice(pathname.indexOf(“/”)+1):parentUrl.slice(8):parentUrl.slice(parentProtocol.length+(“/”===parentUrl[parentProtocol.length]));if(“/”===relUrl[0])return parentUrl.slice(0,parentUrl.length-pathname.length-1)+relUrl;for(var segmented=pathname.slice(0,pathname.lastIndexOf(“/”)+1)+relUrl,output=[],segmentIndex=-1,i=0;ipkgName.length&&”/”!==packages[packages.length-1]?void targetWarning(“W2″,pkgName,packages,”should have a trailing ‘/'”):packages+id.slice(pkgName.length)}}function targetWarning(code,match,target,msg){console.warn(errMsg(code,”Package target “+msg+”, resolving target ‘”+target+”‘ for “+match))}function resolveImportMap(importMap,resolvedOrPlain,parentUrl){for(var scopes=importMap.scopes,scopeUrl=parentUrl&&getMatch(parentUrl,scopes);scopeUrl;){var packageResolution=applyPackages(resolvedOrPlain,scopes[scopeUrl]);if(packageResolution)return packageResolution;scopeUrl=getMatch(scopeUrl.slice(0,scopeUrl.lastIndexOf(“/”)),scopes)}return applyPackages(resolvedOrPlain,importMap.imports)||-1!==resolvedOrPlain.indexOf(“:”)&&resolvedOrPlain}var toStringTag$1=hasSymbol&&Symbol.toStringTag,REGISTRY=hasSymbol?Symbol():”@”;function SystemJS(){this[REGISTRY]={}}var lastRegister,systemJSPrototype=SystemJS.prototype;function loadToId(load){return load.id}function triggerOnload(loader,lo…
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