GBP/USD quiet around 1.2350, eyeing US data for fresh impetus


The GBP/USD pair witnessed a tepid recovery bounce on Thursday and spiked to 1.2380 region during early European session, but remained confined within a broader trading range.

The pair quickly faded the spike and retraced sharply to currently trade around 1.2350 region, testing session low. The US Dollar extended its retracement from 14-year highs and was seen assisting the pair's recovery on Thursday amid thin market liquidity conditions. 

With an empty UK economic docket, investors seemed inclined to lock-in some profits and unwound some of their bearish positions ahead of important US macro data, including the final GDP print for third-quarter of 2016, durable goods order for November, personal income / spending data along with the Fed's preferred inflation gauge - core PCE price index, due later during NA session. 

In the meantime, the pair might continue with its dull trading action amid thin market liquidity conditions ahead of year-end holiday season.

Technical levels to watch

On the upside, 1.2400 handle remains immediate resistance above which the pair seems to immediately dart towards 50-day SMA resistance near 1.2420-25 region. A follow through buying interest above 50-day SMA should trigger a short-covering rally back towards 1.2500 psychological mark.

On the flip side, weakness below session low support near 1.2345 region might continue to take support around 1.2315-10 region, which broken decisively could accelerate the slide towards 1.2240-35 intermediate support en-route 1.2200 round figure mark.
 

    1. R3 1.2461
    2. R2 1.2426
    3. R1 1.2393
  1. PP 1.2358
    1. S1 1.2325
    2. S2 1.2291
    3. S3 1.2258

 

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

Take advantage of market volatility with our daily Forex, Crypto and Indices Trade Ideas!

Become Premium!    

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD holds on to weekly gains, aims to 1.2100

EUR/USD pressures this week high at 1.2079 after the EU services sector moved back into expansion territory according to Markit, the first time since August.

EUR/USD News

GBP/USD extends decline towards the 1.3800 price zone

Upbeat UK data fell short of boosting the pound, hurt by Brexit jitters in Ireland. US macroeconomic figures making the difference in the dollar’s favor.

GBP/USD News

Bitcoin, Ethereum and XRP plummet, breaching critical support levels

Bitcoin price has dropped 12.7% since yesterday and shows no signs of stopping. Ethereum price follows the pioneer crypto’s lead and might retest $2,000 again. Unlike BTC or ETH, XRP price shows signs of recovery as long as it stays above a critical demand zone.

Read more

XAU/USD drops below $1,780 area as US T-bond yields rebound

Gold lost its traction after climbing toward $1,800 on Friday. 10-year US Treasury bond yield is up nearly 2%. Latest PMI data from US underlined strong price pressures.

Gold News

Bionano Genomics Inc runs into technical resistance, put options may work here

BNGO shares have continued to suffer post the retail meme crowd moving on. BNGO shares bounce from lows as DeMark buy signal flashes on Monday. BNGO shares trend up to resistance at 100 day moving average.

Read more

Forex MAJORS

Cryptocurrencies

Signatures