GBP/USD remains under pressure, near 1.2900

  • Cable’s recovery finds resistance at 1.2960 and falls toward 1.2900.
  • US Dollar remains the top performer, DXY breaks above 98.00. 

The GBP/USD fell earlier today to 1.2914, reaching a fresh 2-month low. It bounced later, but the recovery was capped by 1.2960 and now is back into negative territory for the day, looking at the 1.2900 zone. 

The bearish pressure remains intact, favored over the last hours by a stronger US Dollar. The DXY rose traded above 98.00 for the first time since May 2017. While GBP/USD managed to hold above daily lows, EUR/USD tumbled to 1.1150. 

Regarding Brexit and UK politics, the media reported today that talks between the government and the opposition are near collapse and later, that UK PM Theresa May survived an attempt to change Conservative Party rules to make it possible to oust her in weeks but they demand of a clearer timetable on her departure if her Brexit deal fails to pass. The uncertainty around UK politics and Brexit remains in place despite the recent extension and weighs on the Sterling. 

The greenback remains strong in the market even despite the rally in equity prices and lower US yields, supported by US economic data and the dovish shift in many central banks. Regarding data, the next key report in the US will be on Friday with the first estimate of Q1 2019 GDP. 

Levels to watch 

To the upside, immediate resistance might be seen at 1.2960 (American session high), 1.2985 and 1.3020. On the flip side, below 1.2910/15 (daily low), the next support could be located at 1.2895 and then at 1.2830. 

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD hits 7-week lows near 1.1180 on relentless USD buying

Despite the recovery in the 10-year German yields, the EUR/USD pair remains heavy below 1.1200 amid unabated US dollar buying across the board, as markets reassess the Fed's interest rate policy ahead of Thursday's ECB decision.  


GBP/USD advances modestly on Boris Johnson’s victory

The Brexiteer Boris Johnson has been elected as the leader of the Tory Party and will replace Mrs. May as PM. His willingness to leave the EU with or without a deal will likely keep the Sterling under pressure, once the dust settles. GBP/USD now trading at around 1.2470.


USD/JPY climbs to multi-day tops, further beyond 108.00 handle

The USD/JPY pair continued gaining positive traction for the third consecutive session on Tuesday and built on last week's recovery move from four-week lows.


Gold off lows, still in the red near $1420 area

Gold held on to its weaker tone through the mid-European session, albeit has managed to pare some of its early losses to $1414 area, or multi-day lows.

Gold News

Bitcoin fades and gives the lead to Altcoins

ETH/BTC is set up to rise in the short term. XRP can surprise and open up the Altcoin season. Bitcoin goes low and tests important levels.

Read more