GBP/USD Current price: 1.3145
- UK CBI Distributive Trade Survey on realized sales contracted to -6% in August.
- Brexit talks remained stalemate with little over a month to reach a deal.
- GBP/USD has recovered some ground but bullish strength quite limited.
The GBP/USD pair is up in range this Tuesday, holding on to some intraday gains despite disappointing UK data and a sour market mood in the last trading session of the day. The pair reached an intraday high of 1.3170 on the back of the market’s optimism. Investors ignored the August CBI Distributive Trade Survey on realized sales, which contracted to -6% from 8% in the previous month. The Pound is unaffected by the lack of progress in Brexit talks, with little over a month to reach a deal.
The UK won’t release relevant macroeconomic data in the upcoming 24 hours, although BOE’s Haldane is scheduled to offer a speech this Wednesday.
GBP/USD short-term technical outlook
The GBP/USD pair trades in the 1.3140 price zone, with the latest recovery falling short of supporting further gains ahead. In the 4-hour chart, the pair is hovering around a directionless 20 SMA, while a few pips above an also flat 100 SMA. Technical indicators have recovered from daily lows, with the Momentum entering positive territory and the RSI already flat around 54, indicating limited buying interest.
Support levels: 1.3090 1.3050 1.3010
Resistance levels: 1.3170 1.3215 1.3250
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