GBP/USD clings to modest recovery gains, 1.2700 mark back on sight post-UK data


   •  A modest USD pullback from two-year lows helped bounce of multi-month lows.
   •  The recovery got an additional boost following the release of UK retail sales data.
   •  Investors now await the UK PM May’s statement for hints on her departure date.

The GBP/USD pair held on to its mildly positive tone and is currently placed at the top end of its daily trading range, around the 1.2680 region post-UK monthly retail sales data.

With investors still digesting the recent Brexit-related UK political chaos, a modest US Dollar pullback on Thursday helped the pair to stage a modest rebound from the 1.2600 neighborhood and highly oversold conditions. 

The steady recovery extended through the early European session on Friday and got an additional boost from the UK macro data, showing that monthly retail sales remained flat in April as compared to a 0.3% decline expected.

On the other hand, core retail sales came in to show a contraction of 0.2% and the yearly growth rate eased to 5.2% from 6.7%, still better than consensus estimates pointing to a reading of -0.5% and 4.6% respectively.

It would now be interesting to see if the pair is able to capitalize on the positive move as investors now look forward to the UK PM Theresa May's statement for hints on her departure date amid disagreements on her revised Brexit deal.

Technical levels to watch

GBP/USD

Overview
Today last price 1.2675
Today Daily Change 0.0018
Today Daily Change % 0.14
Today daily open 1.2657
 
Trends
Daily SMA20 1.2915
Daily SMA50 1.3021
Daily SMA100 1.3017
Daily SMA200 1.2957
Levels
Previous Daily High 1.2684
Previous Daily Low 1.2605
Previous Weekly High 1.3042
Previous Weekly Low 1.2711
Previous Monthly High 1.3196
Previous Monthly Low 1.2865
Daily Fibonacci 38.2% 1.2635
Daily Fibonacci 61.8% 1.2654
Daily Pivot Point S1 1.2613
Daily Pivot Point S2 1.2569
Daily Pivot Point S3 1.2534
Daily Pivot Point R1 1.2693
Daily Pivot Point R2 1.2728
Daily Pivot Point R3 1.2772

 

 

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.

Feed news

How do emotions affect trade?
Follow up our daily analysts guidance

Subscribe Today!    

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD remains pressured after US data misses estimates

EUR/USD is trading closer to 1.1750, paring its recovery from earlier in the day as the safe-haven dollar is bid. US Consumer Sentiment missed estimates with 72 points in September. The financial woes of China's Evergrande are weighing on sentiment.

EUR/USD News

GBP/USD trades under 1.38 amid on UK data, dollar strength

GBP/USD is on the back foot, trading under 1.38 after UK Retail Sales figures disappointed with -0.9% in August, worse than expected. Brexit uncertainty and dollar demand weighed on the pair earlier. 

GBP/USD News

XAU/USD surrenders intraday gains, drops closer to $1,750 level

Gold struggled to preserve its intraday gains and dropped to the lower end of the daily trading range during the early North American session. 

Gold News

Experts say Ripple will win SEC lawsuit, which might propel XRP to new all-time highs

The latest development in the ongoing SEC vs. Ripple lawsuit is that documents are classified as privileged and blocked for public viewing. Though institutional investors are yet to take big bets on the altcoin in 2021, retail investors are actively trading in XRP.

Read more

US Michigan Consumer Sentiment Preview: Markets will have to look hard for positive signs

Consumer outlook expected to rebound to 72.2 in September. August’s 70.2 was the lowest since December 2011. Inflation and Delta variant wearing on US optimism. Markets face negative dollar risk from fading consumer optimism.

Read more

Forex MAJORS

Cryptocurrencies

Signatures