• GBP/USD rallied to over one-week tops amid dismal NFP-led broad-based USD selloff.
  • The US economy added 266K jobs in April and the jobless rate ticked higher to 6.1%.

The GBP/USD pair caught some aggressive bets during the early North American session and shot to over one-week tops, around the 1.3970 region in reaction to the dismal US jobs report.

The headline NFP showed that the US economy added only 266K new jobs in April as compared to consensus estimates pointing to a reading of nearly one million. Adding to this, the previous month's reading was also revised down to 770K from 916K reported previously and the unemployment rate unexpectedly edged higher to 6.1% from 6.0% in March.

The disappointing details reaffirmed market expectations that the Fed will keep interest rates low for a longer period and triggered some aggressive selling around the US dollar. This, in turn, was seen as a key factor that provided a modest lift to the GBP/USD pair. However, the uncertainty over the outcome of the Scottish election might cap the upside.

Hence, it will be prudent to wait for some strong follow-through buying, possibly beyond the key 1.4000 psychological mark before traders start positioning for any further near-term appreciating move.

Technical levels to watch

GBP/USD

Overview
Today last price 1.39
Today Daily Change 0.0009
Today Daily Change % 0.06
Today daily open 1.3891
 
Trends
Daily SMA20 1.3863
Daily SMA50 1.3857
Daily SMA100 1.3779
Daily SMA200 1.3445
 
Levels
Previous Daily High 1.3941
Previous Daily Low 1.3857
Previous Weekly High 1.3976
Previous Weekly Low 1.3803
Previous Monthly High 1.4009
Previous Monthly Low 1.3669
Daily Fibonacci 38.2% 1.3889
Daily Fibonacci 61.8% 1.3909
Daily Pivot Point S1 1.3852
Daily Pivot Point S2 1.3813
Daily Pivot Point S3 1.3768
Daily Pivot Point R1 1.3935
Daily Pivot Point R2 1.398
Daily Pivot Point R3 1.4019

 

 

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD renews 22-year low as yields propel DXY, focus on ECB vs. Fed drama, energy crisis

EUR/USD renews 22-year low as yields propel DXY, focus on ECB vs. Fed drama, energy crisis

EUR/USD takes offers to refresh multi-year low during seven-day downtrend. US Treasury yields rally to fresh cycle highs amid fears of economic slowdown, hawkish central banks. Energy crisis in Eurozone joins fears of more drama on the Russia-Ukraine issue to keep bears hopeful.

EUR/USD News

GBP/USD bears approach 1.0600 in search of fresh record low, UK’s fiscal plans, Fed’s Powell eyed

GBP/USD bears approach 1.0600 in search of fresh record low, UK’s fiscal plans, Fed’s Powell eyed

GBP/USD remains on the back foot while reversing the previous day’s corrective bounce, taking offers near 1.0630 during early Wednesday morning in Europe. The Cable pair respects the US dollar’s latest run-up amid the rush for risk safety, as well as downbeat economic prospects for the UK.

GBP/USD News

Gold aspires to test $1,620.00 as yields soar, Fed Powell’s speech eyed

Gold aspires to test $1,620.00 as yields soar, Fed Powell’s speech eyed

Gold price is oscillating around $1,625.00 after dropping below the consolidation range of $1,626.83-1,632.72 in the Asian session. The precious metal is continuously declining after facing barricades above $1,640.00.

Gold News

Dogecoin price provides sidelined buyers another opportunity before a 50% rally

Dogecoin price provides sidelined buyers another opportunity before a 50% rally

Dogecoin price undid its gains seen between September 21 and 24 as it came tumbling down, following the footsteps of Bitcoin price. This downtrend has provided sidelined buyers a chance to accumulate before the inevitable explosion of bullish momentum that triggers an exponential rally. 

Read more

Lower gas prices and favorable views of labor market again boost confidence

Lower gas prices and favorable views of labor market again boost confidence

The Consumer Confidence Index rose to its highest level since April, and now sits more than 12 points higher than where it was just two months ago. Falling gasoline prices and a still-tight labor market are the main reasons we have seen a recent rebound in confidence.

Read more

Forex MAJORS

Cryptocurrencies

Signatures