Should investors be wary of further downside potential in the GBP/USD pair, which has hit a new year-to-date low?

Should investors be wary of further downside potential in the GBP/USD pair, which has hit a new year-to-date low?

16.03.2026

Last weekend, the Canadian dollar fell against the yen following the release of Canada’s February employment statistics on the 13th, which showed the unemployment rate had worsened by 0.2 percentage points from the previous month’s 6.5% to 6.7%. The CAD/JPY pair fell from 117.020 to 116.091, plummeting to just below the 200-period simple moving average (SMA) on the hourly chart.On the 4-hour chart, the pair has already broken below the 20-MA support line, signaling a breakdown of the uptrend, while on the daily chart, it is currently pulling back after touching the +2σ line of the Bollinger Bands.

European currencies fell as the pound weakened against the U.S. dollar following the release of U.K. January industrial production data on the 13th, which showed a deterioration from the previous month’s 0.5% increase to a 0.1% rise. The GBP/USD pair fell from 1.3370 to 1.3220.The pair declined as it faced resistance at the 20-period moving average on the hourly chart. On the 4-hour chart, the RSI has already been pushed down from 46 to 30, and on the daily chart, the pair has hit a new year-to-date low. The candlesticks have fallen to the vicinity of the -3σ Bollinger Band.

Today’s economic indicators include the UK Rightmove House Price Index at 9:01, Canadian housing starts and the Canadian Consumer Price Index at 21:15, the US NY Fed Manufacturing Index at 21:15, US industrial production at 22:15, and the US NAHB Housing Market Index at 23:00. No other major economic indicators or notable remarks from key figures are scheduled.Keep an eye on the downside potential for GBP/USD, which has hit a new year-to-date low.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed