The GBP/USD pair trades near its weekly low set at 1.5666, on renewed dollar demand, and with another day with no relevant macroeconomic data in the UK. Later on in the day, the US will release its personal income and expenditures figures, the favorite FED's measure of inflation, alongside with weekly unemployment claims and manufacturing figures. The data needs to beat expectations to improve investors' mood towards the greenback, and local share markets.
In the meantime, the GBP/USD pair presents a limited bearish tone in its 4 hours chart, as the 20 SMA has accelerated its decline and approaches 1.5750, the 23.6% retracement of its latest bullish run and a strong resistance level, whilst the RSI continues heading lower around 39, but the Momentum indicator aims higher in negative territory, limiting for now, the downside. The 1.5650 level is the 38.2% retracement of the same rally, and a critical support for the upcoming hours, as a break below it should see the price accelerating lower, with 1.5600 as the next bearish target.
To the upside, the pair needs to recover above 1.5700 to test the 1.5750/60 region, although selling interest may likely contain advances around this last.
View live chart of the GBP/USD
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