GBP/USD Price Forecast: Finds ground slightly below 20-day EMA

The British Pound (GBP) is marginally higher against the US Dollar (USD), trading at around 1.3545 during the European trading session on Monday. The GBP/USD pair rebounds as the US Dollar corrects after a strong upside move on Friday, with the US Dollar Index (DXY) trading 0.15% lower. The US Dollar gained significantly on Friday following a speech from Federal Reserve Chair Kevin Warsh at the Jackson Hole Symposium, where he warned of upside inflation risks.

This has reinforced upside risks around the policy path, even as longer-term rate premia have eased. The pair trades on the 20-day exponential moving average (EMA) at 1.3543, holding a mildly bullish near-term bias as it consolidates inside a Rising Channel pattern.

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