GBP/USD Current price: 1.3055
- The UK CBI Distributive Trade Survey on realized sales plunged to -23 in October.
- The kingdom reported over 22K new coronavirus cases, the highest one-day increase on record.
- GBP/USD is holding on to gains near the 1.3100 level amid the broad dollar’s weakness.
The GBP/USD pair advanced to 1.3079 a weekly high, trading a handful of pips below the level as the American session came to an end. The dollar came under selling pressure during US trading hours, after a consumer confidence indicator came in worse than anticipated, putting Wall Street under pressure and hence, the greenback. US indexes, however, managed to move away from daily lows, ending the day mixed.
The UK published the Confederation of British Industry Distributive Trades Survey on realized sales, that fell in October to -23 from 11 in the previous month, also below the expected 1. It was the lowest reading since last June. Meanwhile, the UK reported over 22K new coronavirus cases, the highest one-day increase. Despite its resilient behavior the pound may soon give up. Progress in Brexit talks, on the other hand, could boost the pair. This Wednesday, the UK will publish the BRC Shop Price Index for September.
GBP/USD short-term technical outlook
From a technical point of view, the GBP/USD pair is neutral-to-bearish in the near-term. The 4-hour chart shows that the pair got to settle above all of its moving averages, although the Momentum indicator is retreating modestly from near its midline. The RSI indicator, in the meantime, is holding above its midline but losing upward strength. Below 1.2980 the pair will likely be in the hands of bears, who will try to push it sub-1.2900.
Support levels: 1.3035 1.2980 1.2930
Resistance levels: 1.3115 1.3150 1.3200
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.