GBP/USD can't seem to shed the 1.33 handle as UK markets return from their long weekend

Sterling remains flat for the week with London back from a long weekend today.
A thin economic calendar is going to keep the Sterling exposed to whips from headlines and overall market sentiment.

Joshua Gibson FXStreet

The GBP/USD has seen a quiet Asia session for Tuesday, dipping into Monday's low near 1.3295 before resuming trading near 1.3320.

The Sterling saw little action for the new week with UK institutions off for a long weekend in celebration of the Spring Bank Holiday, and GBP liquidity will return in-force today for the upcoming London market session.

Despite the UK session's return to the foray today, Tuesday is unlikely to bring much action for the GBP/USD, with only the BRC Shop Price Index on the data docket, dropping late at 23:01 GMT (last reading -1%). Market flows, fueled by fickle risk appetite, are likely to remain the key driver for the major pair.

The rest of the week is similarly devoid of any high-tier data or news releases for the Sterling, and Brexit headlines can be expected to continue to keep a lid on any kind of meaning bullish comeback for the GBP as Prime Minister Theresa May continues to have a hard time swinging a Brexit deal that keeps both sides of the Channel happy.

GBP/USD levels to watch

As FXStreet's own Valeria Bednarik highlighted recently regarding the pair's technical stance: "the short-term picture for GBP/USD is bearish despite the holiday left it with no directional strength, given that in the 4 hours chart, a modesty bearish 20 SMA, currently at 1.3340 keeps capping the upside, while technical indicators have turned modestly higher, but remain well below their daily highs and within negative levels."

Support levels: 1.3280 1.3245 1.3210

Resistance levels: 1.3340 1.3385 1.3410

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

GBP/USD revisits 1.3530; Dollar pushes harder

GBP/USD adds to the weekly correction and recedes toward the 1.3530 zone on Friday. Indeed, Cable faces increasing selling pressure on the back of extra gains in the Greenback, particularly fuelled by Chair Warsh’s speech at the Jackson Hole Symposium and the US NFP Annual Revision (-79K).

EUR/USD breaches below 1.1600, multi-day lows

EUR/USD now accelerates its decline and retreats to seven-day troughs in the sub-1.1600 region at the end of the week. The pair’s pullback comes on the back of the strong rebound in the US Dollar after Chair Warsh delivered a hawkish message in Jackson Hole, while the US NFP Annual Revision came in at -79K.

Gold challenges its 200-day SMA near $4,530

Gold’s decline gathers fresh steam, hitting weekly lows while disputing its critical 200-day SMA near $4,530 per troy ounce. The yellow metal’s increasing weakness comes in response to the generalised upbeat tone in the US Dollar and the widespread rebound in US Treasury yields, as investors continue to reprice a Fed rate hike in September.

Crypto Today: Bitcoin, Ethereum, XRP rally loses steam despite steady ETF inflows

Bitcoin is back below $80,000 at the time of writing on Friday, after a second attempt at breaking resistance between $81,000 and $82,000. Meanwhile, Ethereum and Ripple mirror Bitcoin’s cooling trend, with ETH sliding to $2,500 and XRP falling toward $1.40 support.

Week ahead – RBNZ and BoC decide on rates ahead of all-important US NFP

Dollar rebounds ahead of ISM PMI and NFP data. RBNZ is expected to raise rates; focus to fall on forward guidance. BoC is set to remain on hold; will it raise rates in 2027?

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.