🔍 Technical Overview
• Support Levels:
o 1.3630–1.3640 – where price has stabilized post-correction
o 1.3600 – near the 50-day EMA and psychological support zone
o 1.3550–1.3560 – deeper support aligned with mid-July 4 dip
• Resistance Levels:
o 1.3670–1.3700 – prior range high and recent intraday resistance
o 1.3789 – July 1 peak, a multi-year high
o 1.3850–1.3900 – next potential upside if the rally resumes
• Indicators:
o RSI around neutral (~50), suggesting balanced momentum
o Prices remain above 50-day EMA—positive trend intact, but caution warranted

📰 Fundamental Highlights
• Dollar Weakness: Continued U.S. fiscal uncertainty and tariff worries weighed on the dollar, supporting GBP gains
• UK Political & Fiscal Concerns: Reversals in welfare reforms raised red flags, with analysts warning that the fiscal path for the UK may weaken, pressuring GBP
• BoE Watch: While some rate cut expectations loomed, Governor Bailey's cautious tone on QT may provide some stability amid volatility

📅 This Week’s Key Events
• Tuesday (July 8) – UK Consumer Price Index (CPI)
• Wednesday (July 9) – U.S.–China tariff deadline, plus U.K. economic data
• Friday (July 11) – U.K. Retail Sales & U.S. PPI

📌 Weekly Outlook & Strategy
🔼 Bullish Scenario
• 1.3630–1.3640 holds → potential rebound toward 1.3700–1.3789
• Break and close above 1.3789 could invite upside toward 1.3900
🔽 Bearish Scenario
• Failure below 1.3630 may send the pair down to 1.3600, then 1.3550
• Continued fiscal or political uncertainty could further pressure GBP