GBP/USD flat lined below 1.2900 handle ahead of US retail sales

  • UK political uncertainty held investors from placing any aggressive bets.
  • A subdued USD demand helped limit the downside ahead of the US data.

The GBP/USD pair lacked any firm directional bias on Friday and oscillated in a narrow trading range, below the 1.2900 handle through the mid-European session.
The pair failed to capitalize on the previous session's late pickup and remained capped below the top end of its weekly trading range as investors still seemed reluctant to place any aggressive bets amid uncertainty over the outcome of the UK snap election on December 12.

Traders remained on the sidelines

It is worth reporting that the incoming polls have indicated a majority for the ruling Conservative party. The odds increased further on reports that Brexit party leader Nigel Farage could back down on closely contested Labour-held seats to give Boris Johnson more of a winning chance in the election.
Bulls, however, seemed unimpressed, rather preferred to wait on the sideline and wait for a fresh catalyst before positioning for the next leg of a directional move. Meanwhile, the downside remained cushioned on the back of a subdued US Dollar demand.
Despite the incoming positive trade-related headlines, which raised hopes of a US-China trade deal, and a strong intraday pickup in the US Treasury bond yields, the greenback failed to gain any meaningful traction ahead of Friday's release of the US monthly retail sales figures.
Apart from the key consumer spending data, some second-tier US economic releases – Empire State Manufacturing Index, Industrial Production and Capacity Utilization Rate – might further influence the USD price dynamics and contributed towards producing some short-term trading opportunities.

Technical levels to watch


Today last price 1.2879
Today Daily Change 0.0000
Today Daily Change % -0.00
Today daily open 1.2879
Daily SMA20 1.2878
Daily SMA50 1.2609
Daily SMA100 1.2459
Daily SMA200 1.2703
Previous Daily High 1.2889
Previous Daily Low 1.2824
Previous Weekly High 1.2943
Previous Weekly Low 1.2769
Previous Monthly High 1.3013
Previous Monthly Low 1.2194
Daily Fibonacci 38.2% 1.2864
Daily Fibonacci 61.8% 1.2849
Daily Pivot Point S1 1.2839
Daily Pivot Point S2 1.2799
Daily Pivot Point S3 1.2774
Daily Pivot Point R1 1.2904
Daily Pivot Point R2 1.2929
Daily Pivot Point R3 1.2969



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.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Latest Forex News

Editors’ Picks

GBP/USD: Bears eye 1.25 as disappointing UK GDP knocks off yields

GBP/USD extends losses towards 1.2500, as the UK GDP disappointment weighs negatively on the 2-year Gilt yields. Broad US dollar strength amid risk-off mood also adds to the bearish pressure on the cable. 


EUR/USD under pressure below 1.1350 amid risk-aversion

EUR/USD remains pressured below 1.1350, as US dollar trades firmer amid broad risk-aversion. The German ZEW Survey to show signs of an economic turnaround. Heightened expectations for an EU fiscal stimulus plan could buoy the shared currency. 


Gold: $1796 is the level to beat for the XAU bears

Gold is trying hard to recover ground above the $1800 mark, as the US dollar continues to benefit from broad risk-aversion amid looming coronavirus risks. Let’s see how it is positioned ahead of the critical US CPI release.

Gold News

Forex Today: US dollar seizes control as risk aversion returns, a busy docket ahead

Broad US dollar strength extended into Asia, as risk-averse market conditions persisted amid intensifying coronavirus fears and US-China tensions. The Asian equities followed the late sell-off on Wall Street while the US stock futures struggled with its recovery.

Read more

WTI recovers from intraday low under $40.00 ahead of API inventories

WTI’s pullback from $39.30 fails to defy a two-day losing streak. China’s sustained increase in oil imports confronts chatter of easing output cuts. US inflation data, API stockpiles and American earnings are in the spotlight.

Oil News