The GBP/USD pair saw some buying on the dip later in the day, which reversed the decline to below 1.3000. The US dollar extended its recent gains to a near two-year high. As a result of the Fed’s hawkish outlook, the gains in major pairs have been limited. During the London session, the GBP/USD price reversed course quickly, nearing a yearly low and closing near the top of its daily range around 1.3050. –Are you interested in learning more about CFD brokers? Check our detailed guide- On Monday’s dip, the pair again showed some resilience below the psychological level of 1.3000, which prompted some buying despite the recovery attempt not lasting. Furthermore, the incumbent French president, Macron, provided some support for the common currency in the first round of presidential elections. As a result, the US dollar was forced to consolidate its recent strong gains to the highest levels since May 2020, which enabled the GBP/USD pair to make gains. Strong greenback caps gains The US dollar has nevertheless seen its decline moderated, and significant gains have been tempered, at least for now, by a combination of factors. First, investors believe that inflation is expected to rise due to tightening monetary policy more quickly. The US Treasury yields are at multi-year highs over fears that commodities prices will drive up already high consumer prices, which should support the dollar. What’s next to watch? Due to this, markets will remain focused on the latest US consumer inflation data, released on Tuesday. The yield on US bonds will also play an important role in determining US dollar rates. In addition, a rise in risk appetite and a demand for safe-haven assets will be stimulated by developments around the Russian-Ukrainian conflict. As a result, there is little chance of a major economic announcement impacting the market, which should help the GBP/USD pair. Get FREE Forex Signals Now! GBP/USD price daily open interest The GBP/USD price closed with slight losses on Friday. Meanwhile, the daily open interest went significantly higher. This shows a bearish bias. –Are you interested in learning more about MT5 brokers? Check our detailed guide- GBP/USD price technical analysis: Bulls picking up The GBP/USD price seems to find a bottom below the 1.3000 mark. The 4-hour chart shows a healthy sign of recovery. However, the pair is wobbling around the 20-period SMA near 1.3050. Any subsequent move beyond the level may gather traction for moving towards 1.3100. Alternatively, if the price falls below the 1.3000 area, the bias will turn strongly bearish and may find more sellers that help the bears slip towards 1.2900. Looking to trade forex now? Invest at eToro! Trade Forex Now! 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal Majors share Read Next EUR/USD Forecast: On defensive at 1.090, eyeing politics for direction Saqib Iqbal 8 months The GBP/USD pair saw some buying on the dip later in the day, which reversed the decline to below 1.3000. The US dollar extended its recent gains to a near two-year high. As a result of the Fed's hawkish outlook, the gains in major pairs have been limited. During the London session, the GBP/USD price reversed course quickly, nearing a yearly low and closing near the top of its daily range around 1.3050. -Are you interested in learning more about CFD brokers? Check our detailed guide- On Monday's dip, the pair again showed some resilience below the psychological level of… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk.4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk.5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.