GBP/USD consolidates below 1.3900 as US Treasury yields rebound

GBP/USD halts the previous two day’s strong gains on Wednesday.
US dollar stands strong on the mixed US economic data, Fed eyed.
The sterling maintains its strong stance on Brexit and fall in COVID-19 cases.

Rekha Chauhan Independent Analyst

GBP/USD treads water on Wednesday in the Asian trading session on Wednesday. The pair confides in a very narrow trade band with no meaningful traction.

At the time of writing, GBP/USD is trading at 1.3883, up 0.05% for the day.

The US Dollar Index (DXY), which tracks the greenback performance against its six major rivals, trades near 92.50, with 0.01% gains. Investors expected a sooner than expected rate hike from the Fed in today’s meeting.

The mixed economic data adds little to the USD valuations. The US New Home Sales data fell for the straight third month. The US Durable Goods Orders rose 0.8% in June, much below the market expectations of 3.2% growth.

On the other hand, the sterling remained in higher spirit after the Bank of England (BOE) official Gertjan Vlieghe said on Monday that the central bank should keep its stimulus possibly until 2022.

Meantime, the EU pauses legal action against the UK over the Northern Ireland (NI) protocol.

As for now, investors await the Fed’s Interests Rate Decision to gauge the market sentiment.

GBP/USD additional levels

GBP/USD

Overview
Today last price	1.3878
Today Daily Change	-0.0001
Today Daily Change %	-0.01
Today daily open	1.3879

Trends
Daily SMA20	1.3797
Daily SMA50	1.3961
Daily SMA100	1.3924
Daily SMA200	1.3723

Levels
Previous Daily High	1.3894
Previous Daily Low	1.3767
Previous Weekly High	1.3787
Previous Weekly Low	1.3572
Previous Monthly High	1.4249
Previous Monthly Low	1.3787
Daily Fibonacci 38.2%	1.3846
Daily Fibonacci 61.8%	1.3816
Daily Pivot Point S1	1.3799
Daily Pivot Point S2	1.3719
Daily Pivot Point S3	1.3672
Daily Pivot Point R1	1.3927
Daily Pivot Point R2	1.3974
Daily Pivot Point R3	1.4054

Author

Rekha Chauhan

Independent Analyst

Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.

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