GBP/USD probes highs above 1.3250 ahead of UK data

Cable stays close to 3-week tops.
GBP bid on rising optimism around Brexit.
Focus remains on the ‘divorce bill’.

Pablo Piovano FXStreet

The buying interest around the Sterling remains well and sound during the first half of the week, with GBP/USD now testing the area of session tops in the 1.3250/55 band.

GBP/USD upside backed on Brexit headlines

Cable is up for the sixth session in a row so far today and navigates close to yesterday’s fresh 3-week tops in the vicinity of 1.3280.

Positive headlines from Brexit have been helping the British Pound to extend its upbeat sentiment, while investors’ attention has now shifted to the ‘divorce bill’ and a future trade deal following yesterday’s cabinet committee meeting at Downing Street.

In the meantime, the pair is prolonging the breakout of the short-term resistance line off 2017 tops seen in mid-September and now faces a strong resistance in the 1.3320/40 region, consistent of October’s peaks and a Fibo retracement.

In the UK data space, UK’s public sector finances are next on tap along with inflation hearings and CBI’s industrial index for the current month.

GBP/USD levels to consider

As of writing the pair is gaining 0.14% at 1.3253 facing the next hurdle at 1.3279 (high Nov.20) seconded by 1.3321 (high Nov.1) and then 1.3343 (50% Fibo of 1.3658-1.3017). On the downside, a breach of 1.3181 (10-day sma) would open the door to 1.3127 (100-day sma) and finally 1.3062 (low Nov.13). In addition, FXStreet’s Technical Confluence Index (TCI) notes a strong support area in the 1.3170/75 band, where converge the 200-h sma, a Fibo retracement and a Bollinger Band.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD clings to gains around 1.1800

EUR/USD manages to regain composure and retests the 1.1800 region in quite a positive start to the week. The pair’s bounce follows the US Dollar’s offered stance post-SCOTUS ruling ahead of important US data and Fedspeak on Tuesday.

GBP/USD treads water near 1.3500 as BoE-Fed divergence debate stalls

GBP/USD spent Monday spinning in place as market participants await a fresh catalyst to break the pair out of its recent range. The BoE's February hold came with a surprisingly dovish 5-4 split, and UK Consumer Price Index data last week showed inflation easing to 3.0%, reinforcing the case for earlier rate cuts, with most economists now looking to April or March for the next move.

Gold climbs above $5,200 on geopolitical tensions, trade uncertainty

Gold price jumps to around $5,230 during the early Asian session on Tuesday. The rally of the precious metal is bolstered by heightened geopolitical tensions and global trade uncertainty following US tariff decisions. Traders brace for the US January Producer Price Index report on Friday for fresh impetus.

Solana DeFi platform Step Finance to close operations following treasury hack

The Solana based decentralized finance platform Step Finance announced it will end all operations effective immediately following a breach that drained its treasury.

Supreme Court nixes tariffs, Trump teases 15% global tariff

On February 20th, the Supreme Court ruled that Trump’s global tariffs under IEEPA authority were unconstitutional, effectively nullifying the framework. However, the relief was short-lived. Within hours, Trump floated a 15% blanket tariff under an alternative legal authority.

XRP recovers slightly as bearish sentiment dominates crypto market

Ripple is rising above $1.40 at the time of writing on Monday amid fresh tariff-triggered headwinds in the broader cryptocurrency market. The sell-off to $1.33, the token’s intraday low, can be attributed to macroeconomic uncertainty, geopolitical tensions and risk-averse sentiment among other factors.