GBP/USD spikes and retreats, back around mid-1.2800s

The GBP jumps after Labour confirmed to support early UK election.
Further gains remained limited ahead of the final parliamentary vote.

Haresh Menghani FXStreet

The GBP/USD pair rallied around 60-pips and jumped to fresh session tops, around the 1.2875 region in the last hour, albeit lacked any strong follow-through.

The pair once again some resilience near the 1.2800 handle and witnessed an intraday turnaround after the UK opposition Labour party leader Jeremy Corbyn confirmed that it will support an early election in December.

Focus remains on UK politics

The British Pound got a strong boost in reaction to the latest UK development – intended to break the Brexit impasse –albeit election uncertainty held investors from placing aggressive bets and kept a lid on any strong positive move.

The pair retreated around 20-25 pips from the daily swing high but now seems to have stabilized above mid-1.2800s as investors look forward to the UK parliament vote on a one-line bill to change the date set in law for the election.

With the incoming Brexit/UK political headlines turning out to be an exclusive driver of the broader market sentiment surrounding the British Pound, the pair seemed rather unaffected by a subdued US Dollar price action.

Heading into this week's highly anticipated FOMC meeting, starting this Tuesday, a sharp intraday slide in the US Treasury bond yields held the USD bulls on the defensive and did little to contribute to the pair’s intraday momentum.

Technical levels to watch

GBP/USD

Overview
Today last price	1.2853
Today Daily Change	-0.0007
Today Daily Change %	-0.05
Today daily open	1.286

Trends
Daily SMA20	1.2622
Daily SMA50	1.2436
Daily SMA100	1.2433
Daily SMA200	1.2715

Levels
Previous Daily High	1.2878
Previous Daily Low	1.2811
Previous Weekly High	1.3013
Previous Weekly Low	1.2787
Previous Monthly High	1.2583
Previous Monthly Low	1.1958
Daily Fibonacci 38.2%	1.2852
Daily Fibonacci 61.8%	1.2836
Daily Pivot Point S1	1.2822
Daily Pivot Point S2	1.2783
Daily Pivot Point S3	1.2755
Daily Pivot Point R1	1.2888
Daily Pivot Point R2	1.2916
Daily Pivot Point R3	1.2955

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

EUR/USD remains offered below 1.1800, looks at US data

EUR/USD is still trading on the defensive in the latter part of Thursday’s session, while the US Dollar maintains its bid bias as investors now gear up for Friday’s key release of the PCE data, advanced Q4 GDP prints and flash PMIs.

GBP/USD bounces off monthly lows near 1.3430

GBP/USD is sliding in tandem with its risk-sensitive peers, drifting back towards the 1.3430 area, its lowest levels in the month. The move reflects a firmer Greenback, supported by another round of solid US data and a somewhat divided FOMC Minutes.

Gold drifts higher to near $5,000 on heightened US-Iran tensions

Gold price holds positive ground near $5,000 during the early Asian session on Friday. The precious metal edges higher as escalating tensions between the United States and Iran boost safe-haven demand. Traders brace for the preliminary reading of US Gross Domestic Product for the fourth quarter, the Personal Consumption Expenditures and the S&P Global Purchasing Managers Index data, which are due later on Friday.

XRP edges lower as SG-FORGE integrates EUR stablecoin on XRP Ledger

Ripple’s (XRP) outlook remains weak, as headwinds spark declines toward the $1.40 psychological support at the time of writing on Thursday.

Hawkish Fed minutes and a market finding its footing

It was green across the board for US Stock market indexes at the close on Wednesday, with most S&P 500 names ending higher, adding 38 points (0.6%) to 6,881 overall. At the GICS sector level, energy led gains, followed by technology and consumer discretionary, while utilities and real estate posted the largest losses.

Injective token surges over 13% following the approval of the mainnet upgrade proposal

Injective price rallies over 13% on Thursday after the network confirmed the approval of its IIP-619 proposal. The green light for the mainnet upgrade has boosted traders’ sentiment, as the upgrade aims to scale Injective’s real-time Ethereum Virtual Machine architecture and enhance its capabilities to support next-generation payments.