GBP/USD 2025 Technical Outlook Preview

This is an excerpt from our full 2025 GBP/USD Outlook report, one of nine detailed reports about what to expect in the coming year.

GBP/USD outlook – technical analysis

GBP/USD Monthly chart

GBP/USD broke out above its falling trendline dating back to 2007 but failed to extend the breakout. GBP/USD is testing the trendline support.

Source: TradingView

GBP/USD Weekly chart

The BoE will likely cut interest rates more than the Federal Reserve next year, which could put GBP/USD under further pressure. The technical picture also looks more bearish.

GBP/USD ran into resistance at 1.3425 and rebounded lower, breaking below the 200 SMA and the rising trendline dating back to the September 2022 low. More recently, the price has taken out the 100 SMA, which, combined with the RSI below 50, keeps sellers hopeful of further losses.

If sellers take out the 1.25 support, 1.23 support comes into focus; the 2024 low, break below here, creates a lower low. Below here, 1.20, the 2023 low comes into play.

On the upside, buyers will look to rise above 1.28 to expose the 200 SMA and 1.30 psychological level. A rise above 1.34 would create a higher high.

Source: TradingView

The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.

Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex, commodity futures, or digital assets, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to FOREX.com or GAIN Capital refer to StoneX Group Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.

FOREX.com is a registered FCM and RFED with the CFTC and member of the National Futures Association (NFA # 0339826). Forex trading involves significant risk of loss and is not suitable for all investors. Full Disclosures and Risk Warning. Increased leverage increases risk.

GAIN Capital Group LLC (dba FOREX.com) 30 Independence Blvd, Suite 300 (3rd floor), Warren, NJ 07059, USA. GAIN Capital Group LLC is a wholly-owned subsidiary of StoneX Group Inc.