GBPUSD extends pullback below 1.3000; UK retail sales in focus

Slobodan Drvenica Windsor Brokers

GBPUSD

Cable remains in red for the fourth straight day and probes below psychological 1.3000 support, weighed by weak CPI numbers earlier this week. Room for deeper pullback exists with close below pivotal 1.3000 support zone to generate bearish signal. Next solid support lies at 1.2968 (daily Tenkan-sen), followed by 1.2931 pivot (Fibo 61.8% of 1.2811/1.3125/rising 20SMA). UK retail sales for June are in focus (m/m 0.4% forecast vs -1.2% previous month/y/y 2.5% forecast vs 0.9% in May) and may offer fresh support on release at/above consensus. Regain of levels above 1.3050 would generate bullish signal and turn near-term focus higher.

Res: 1.3038; 1.3055; 1.3071; 1.3100
Sup: 1.2968; 1.2931; 1.2886; 1.2857

Interested in GBP/USD technicals? Check out the key levels

1. R3 1.3091
2. R2 1.3073
3. R1 1.3047
PP 1.3029
1. S1 1.3003
2. S2 1.2985
3. S3 1.2959

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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