GBP/USD analysis: rejected again from the 1.3300 region
GBP/USD Current price: 1.3224
- MPs´ rebellion over Chequers' plan undermined the Pound.
- UK employment figures up next: unemployment rate seen steady at 4.2%, wages' growth also expected to remain stable.
After nearing the 1.3300 level, the GBP/USD pair trimmed all of its daily gains and entered negative territory, as the backs and forths around the Brexit strategy keep weighing on the Pound. The Chequers deal that cost the resignation of two major political figures, came under scrutiny, with the House of Commons determined to wreck UK PM May's plan. However, a spokesman from Number 10 said that the government would accept amendments put forward by pro-Brexit lawmakers, as they are consistent with the White Paper. This Tuesday, the UK will release its latest employment data, which includes wages' growth for the three months to May. Average hourly earnings excluding bonus are expected to have risen by 2.5% while excluding bonus are seen up by 2.7%. The unemployment rate for the same period is expected to remain unchanged at 4.2%. The 4 hours chart for the par shows that the pair eased after testing the 200 EMA and pulled down toward a mild bearish 20 SMA. Indicators in the mentioned chart lost their upward strength, now heading south within neutral levels. The bearish potential will likely increase on a break below 1.3180, while chances for bulls will be higher on a break above the 1.3300 figure.
Support levels: 1.3180 1.3155 1.3110
Resistance levels: 1.3250 1.3295 1.3340
Author
Valeria Bednarik
FXStreet
Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.
