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GBP/USD remains depressed near 1.3800 ahead of US inflation

  • GBP/USD trades cautiously on Friday in the Asian trading hours.
  • The US dollar falls below 93.50 following dismal US GDP figures.
  •  UK budget, Brexit, and hawkish BOE entertain the pound traders.

GBP/USD remains firm during the Asian session on the last trading day of the week. The pair managed to gather momentum, following the previous session. At the time of writing, GBP/USD is trading at 1.3800, up 0.01% for the day.

The sterling keeps its foot firmly against the majors amidst the broad-based USD selling. The greenback gauge dropped the most since October 13 the previous day after the US Q3 Gross Domestic Product (GDP) fell below the 2.7% forecast to 2.0%, much lower than  the previous reading of 6.7%. Investors assessed the downbeat GDP data as a hint that could push the Fed to slow down on its monetary policy normalization hustle.

In addition to that, UK Chancellor Rishi Sunak’s multi-billion pound 2021 budget and the hawkish Bank of England (BOE) seem to support the move in the currency.

The Brexit-led pessimism, however, limits gains in sterling. As per the BBC, France has seized a British trawler and another has been fined amid an escalating row over post-Brexit fishing rights.
 
 As for now, traders keep their focus on the BOE Consumer Credit, Mortgage Lending and US Personal Consumption Expenditures-Price Index to gauge market sentiment.

GBP/USD technical levels

GBP/USD

Overview
Today last price1.3801
Today Daily Change0.0013
Today Daily Change %0.09
Today daily open1.3788
 
Trends
Daily SMA201.3691
Daily SMA501.3714
Daily SMA1001.3785
Daily SMA2001.3852
 
Levels
Previous Daily High1.3815
Previous Daily Low1.3722
Previous Weekly High1.3834
Previous Weekly Low1.3709
Previous Monthly High1.3913
Previous Monthly Low1.3412
Daily Fibonacci 38.2%1.3779
Daily Fibonacci 61.8%1.3758
Daily Pivot Point S11.3736
Daily Pivot Point S21.3683
Daily Pivot Point S31.3643
Daily Pivot Point R11.3828
Daily Pivot Point R21.3868
Daily Pivot Point R31.392


 

Author

Rekha Chauhan

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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