GBP/USD Falls Below 100/200-Day MAs After Failed Breakout at 1.3442

GBP/USD has reversed its post-CPI gains and slipped back below the critical 100-day and 200-day moving averages, signaling a bearish technical shift after buyers failed to sustain momentum above the 1.3442 level. The pair initially surged following the softer-than-expected U.S. CPI print, climbing toward a key swing resistance zone between 1.3446 and 1.3465, but the rally was promptly rejected as sellers reasserted control. The failure to break and hold above this resistance cluster is a significant technical development, suggesting that near-term upside remains capped despite the supportive inflation data. With the pair now trading below both major daily moving averages, downside risks have increased. Traders should watch for a potential retest of recent support levels as the next bearish target. A recovery back above the 100/200-day MA convergence zone would be needed to neutralize the bearish signal. Sterling traders should also monitor upcoming UK economic releases for additional directional catalysts.