GBP/USD holds steady below 1.2900 handle, moves little after UK CPI

   •  UK headline CPI fall 0.8% m/m; yearly rate eases to 1.8%.
   •  Mostly in-line core reading helped limit deeper losses.

The GBP/USD pair extended its intraday retracement slide and slipped further below the 1.2900 handle post-UK inflation figures, albeit lacked strong follow-through.

The pair failed to capitalize on the early uptick and started retreating from a session high level of 1.2923 amid some renewed US Dollar buying interest. The British Pound lost some additional ground following the release of dismal UK data, showing that the headline CPI declined 0.8% m/m in January.

Adding to this, the yearly rate also fell short of expectations and eased to 1.8% y/y during the reported period. Meanwhile, the core reading held steady at 1.9% y/y rate and seemed to be the only factor that helped limit deeper losses, at least for the time being.

Moreover, investors also seemed reluctant to place any aggressive bets and preferred to wait for fresh Brexit updates from the upcoming parliament debate, scheduled to take place on Thursday - February 14. 

Technical levels to watch

GBP/USD

Overview:
    Today Last Price: 1.2889
    Today Daily change: -0.0007 pips
    Today Daily change %: -0.05%
    Today Daily Open: 1.2896
Trends:
    Daily SMA20: 1.3002
    Daily SMA50: 1.2819
    Daily SMA100: 1.2885
    Daily SMA200: 1.3017
Levels:
    Previous Daily High: 1.291
    Previous Daily Low: 1.2833
    Previous Weekly High: 1.3103
    Previous Weekly Low: 1.2854
    Previous Monthly High: 1.3214
    Previous Monthly Low: 1.2438
    Daily Fibonacci 38.2%: 1.288
    Daily Fibonacci 61.8%: 1.2862
    Daily Pivot Point S1: 1.2849
    Daily Pivot Point S2: 1.2802
    Daily Pivot Point S3: 1.2771
    Daily Pivot Point R1: 1.2926
    Daily Pivot Point R2: 1.2957
    Daily Pivot Point R3: 1.3003

 

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