TRENDING:

GBP/USD

XAU/USD

GBP/USD: Bulls take a breather heading into a Big Brexit Wednesday

USD profit-taking and hopes of a Brexit deal keep the Cable well bid.
All eyes on the UK Brexit Cabinet meeting and UK inflation data for a fresh directional move.

Dhwani Mehta FXStreet

The GBP/USD pair is seen flirting with the 1.30 handle, as we progress towards the European trading, having stalled the overnight bounce near 1.3035 region, as attention now turns towards the crucial UK Cabinet meeting on the Brexit deal and inflation figures.

Focus on Big Brexit Wednesday

The Cable jumped in the early trades as the US dollar ran into fresh offer versus its major rivals, with the USD index extending the retreat from 16-month tops to now trade near 97.10 levels. Broad-based US dollar weakness was mainly driven by a profit-taking spree, as the investors flocked to the GBP and the Euro on expectations that a Brexit deal will be clinched soon.

Further, the Sun newspaper reported that the UK Cabinet Ministers Raab, Hunt, Javid, Gove and Cox will support the Brexit draft likely to be presented for approval before the UK Cabinet when it meets later today at 1400 GMT.

Markets believe the UK PM Theresa May’s Cabinet may approve the draft withdrawal agreement, but it will be a challenge for May to take it through the parliament. This comes after both the UK and the European Union (EU) agreed on a preliminary Brexit text that would allow a deal that avoids a chaotic "hard Brexit" departure.

Besides, the key Brexit event, the UK October CPI figures are due on the cards and are seen a tad firmer at 2.5% y/y and 0.2% m/m. Also, of note remains the US inflation report due later in the NA session at 1330 GMT.

GBP/USD Technical Levels

GBP/USD

Overview:
    Last Price: 1.3006
    Daily change: 50 pips
    Daily change: 0.386%
    Daily Open: 1.2956
Trends:
    Daily SMA20: 1.2951
    Daily SMA50: 1.3034
    Daily SMA100: 1.3027
    Daily SMA200: 1.339
Levels:
    Daily High: 1.3048
    Daily Low: 1.2839
    Weekly High: 1.3176
    Weekly Low: 1.2958
    Monthly High: 1.326
    Monthly Low: 1.2696
    Daily Fibonacci 38.2%: 1.2968
    Daily Fibonacci 61.8%: 1.2919
    Daily Pivot Point S1: 1.2847
    Daily Pivot Point S2: 1.2738
    Daily Pivot Point S3: 1.2637
    Daily Pivot Point R1: 1.3057
    Daily Pivot Point R2: 1.3157
    Daily Pivot Point R3: 1.3266

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD holds steady below 1.1650, all eyes on Fed rate decision

The EUR/USD pair trades flat around 1.1625 during the early European session on Wednesday. Markets turn cautious ahead of the US Federal Reserve interest rate decision later on Wednesday, in which a 25 basis points rate cut is almost fully priced in.

GBP/USD holds positive ground above 1.3300, eyes on Fed rate decision

The GBP/USD pair trades on a firmer note around 1.3305 during the early European session. The Greenback edges lower against the Pound Sterling as the US Federal Reserve is widely expected to announce another interest rate cut on Wednesday. The UK monthly Gross Domestic Product (GDP) report will be published later on Friday.

Gold holds steady above $4,200 as traders keenly await FOMC rate decision

Gold edges higher during the Asian session and touches a fresh weekly top on Wednesday, though it lacks follow-through buying. The growing acceptance that the US Federal Reserve will lower borrowing costs at the end of a two-day policy meeting later today fails to assist the US Dollar in capitalizing on its recent recovery from the lowest level since late October.

Dogecoin recovers on rising bullish bets ahead of Fed rate decision

Dogecoin holds steady on Wednesday after a nearly 4% rise on Tuesday. Derivatives data indicate a surge in bullish bets and retail interest as the broader cryptocurrency market recovers on hopes that the US Federal Reserve will reduce interest rates by 25 basis points.

Global economic outlook 2026: Financial system risk, trade, public debt

The global and European economies have been resilient in recent years even accounting for the modest global slowdown of 2025. But risks for the recovery are rising, underscoring a negative medium-run global macro and credit outlook.

Zcash Price Forecast: ZEC extends gains as derivatives turn decisively bullish

Zcash (ZEC) price extends gains, trading above $440 on Wednesday after rallying nearly 30% so far this week. ZEC’s rising open interest, elevated bullish bets, and a shift to positive funding rates all point to stronger demand.

Legal Text

Markets move fast. We move first.

Editor's Picks

Best Brokers in 2025