GBP/USD has fallen through Lloyds’ initial downside levels, leaving its June support near 1.3140 within reach.
The British Pound to Dollar (GBP/USD) exchange rate has broken below both 1.3300 and 1.3274, bringing the deeper support identified by Lloyds into focus.
Pound Sterling traded at 1.3215 on Thursday, down 0.17% on the day after Wednesday’s 0.79% fall.
The decline has carried the Pound beyond the risks Lloyds highlighted on 21 September, when it classified the daily trend as “Lower”.
“Failure of GBP/USD 1.3474/83 has opened lower levels. While we’ve seen 1.3336 so far, there looks to be room to test lower still. 1.3300 looks to be the immediate risk but through there the March/June lows would call (down to 1.3140).”
That lower reference is around 75 pips, or 0.6%, beneath Thursday’s price.
It represents potential technical support, with no deadline attached for a test.
The move has developed alongside renewed expectations of further Federal Reserve tightening.
Wednesday’s US flash composite PMI climbed to 58.4 from 56.0, signalling the fastest expansion since July 2021 alongside stronger cost pressures.
S&P Global described the survey as “sending a hawkish signal for interest rates”, reinforcing the economic case for Dollar demand.
Lloyds allowed for a rebound, but set a demanding test for a lasting recovery:
“There is room to bounce more immediately, first resistance is back at 1.3434/36, but it’ll require more work than that to signify the cross has found a durable floor.”
The bank’s higher pivot sits at 1.3474-1.3483, where the earlier recovery failed.
For a rebound from today’s price, however, the nearer issue is the lost 1.3274-1.3300 area.
Exchange Rates UK would treat a recovery through those levels as an initial repair to the decline, with Lloyds’ higher resistance levels still further away.
Our currency coverage draws on live market data, official economic releases and published bank research.
