GBP/USD analysis: weaker dollar pushes Pound to weekly highs

Valeria Bednarik FXStreet

GBP/USD Current price: 1.3172

UK calendar had little to offer, Pound benefiting from trade-war relief on Trump's comments.
GBP/USD at weekly highs, advance shallow when compared to other assets, as Brexit weighs.

The GBP/USD pair saw little action during the last few sessions, advancing up to 1.3176 on the back of dollar's weakness, but gains were temporal, with the pair retreating back to its comfort one in the 1.314/50 region. The UK released the CBI Realized Sales survey, which was the trigger to the early advance, as sales were up 20% in July, better than the 15% expected but well below the previous 32%. There are no macroeconomic releases scheduled in the kingdom for this Thursday. The pair extended its advance to a fresh weekly high of 1.3180, following encouraging words from US President Trump and EU Commissioner Junker, holding nearby by the end of the day. The technical picture shows an increasing upward potential, despite the pair holds within familiar levels, as in the 4 hours chart, the pair bounced again from a bullish 20 SMA, currently at 1.3135, while the Momentum indicator holds around its 100 level barely turning higher, but the RSI seems to be picking up, currently at 60. The advance could continue with a break above the 1.3200 figure, with scope them for an approach to the 1.3300 figure.

Support levels: 1.3135 1.3090 1.3045

Resistance levels: 1.3200 1.3240 1.3280

View Live Chart for the GBP/USD

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.

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