GBP/USD: Recovery post-UK GDP falters at 1.3030, Fed eyed
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Having tested 1.30 handle on the UK Q2 GDP release, the bulls regained momentum and pushed GBP/USD back towards 1.3050 levels, only to find fresh sellers near 1.3030 region.
GBP/USD: All eyes on UK Q2 GDP and Fed
The GBP/USD pair fell sharply to test 1.30 handle in a knee-jerk reaction to the in-line with estimates UK Q2 GDP release. However, the downward spike was somewhat reversed, as markets digest the UK Q2 GDP report and its implications on the next BOE’s policy move.
UK Q2 2017 prelim GDP rises to 0.3%, bang on expectations
Over the last hour, the recovery from near daily lows of 1.3003 lost pace, in the wake of resurgent USD demand witnessed across the board. Markets resort to taking profits off the table on their USD shorts ahead of the FOMC policy decision due later in the NA session. Meanwhile, the spot will take cues from the US new home sales data for fresh USD moves.
GBP/USD levels to consider
To the upside, resistances are aligned at 1.3053/57 (Jul 19 & 24 high), 1.3100 (round figure) and 1.3150 (psychological levels). On the flipside, 1.2977 (20-DMA) guards the next support of 1.2885 (50-DMA), below which 100-DMA support at 1.2835 lie.
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