FxWirePro: GBP/USD dips below lower range, bearish bias increases

• GBP/USD slipped lower on Friday as the dollar firmed, even after data showed U.S. job growth slowed more than expected, reinforcing expectations that the Fed could keep interest rates unchanged later this month.

• Nonfarm payrolls increased by 50,000 jobs last month after a downwardly revised rise of 56,000 in November, the Labor Department's Bureau of Labor Statistics said. 

• Meanwhile, investors remain cautious as they await clearer signals on the economic outlook, with GDP data due on Thursday and labour market figures scheduled for the following week, both of which could offer fresh insight into the Bank of England’s monetary policy path.

• Money markets are assigning an 88% probability that the Bank of England will keep interest rates unchanged at 3.75% at its February 5 meeting, following a 25 basis-point rate cut in December.

• Technical signals are  strongly bearish as RSI is   at 49, daily momentum studies  5, 9 and 10 DMAs are trending down.

•   Immediate resistance is located at 1.3442( SMA20), any close above will push the pair towards 1.3529(38.2%fib)

•  Strong support is seen at 1.3397(50%  fib) and break below could take the pair towards 1.3331(Lower BB).

  Recommendation: Good to sell  around 1.3410 with stop loss of 1.3480 and target price of 1.3350