GBP/USD stalls 3-day rally ahead of UK Supreme Court Brexit ruling

The GBP/USD pair paused its bullish move and fell into negative territory for the first time in four days this Tuesday, as the bulls took a breather ahead of the Brexit Supreme Court decision.

GBP/USD eyes a break below 1.2500

GBP/USD is seen on a retreat from five-week highs of 1.2545, and now struggles near 1.25 handle, as markets resort to profit-taking on their GBP longs, especially after the recent strength witnessed in anticipation that the UK Supreme Court will announce a decision urging the UK government to adopt a soft Brexit.

Moreover, a pick-up in demand for the greenback across the board also collaborated to the renewed sell-off in GBP/USD.  The US dollar is attempting a tepid-bounce versus its major peers from seven-week lows, following USD jawboning by the US Treasury Secretary nominee Mnuchin overnight.

All eyes remain on the Supreme Court decision on the Brexit process for fresh direction on the spot.

GBP/USD Levels to consider            

In terms of technical levels, upside barriers are lined up at 1.2545 (5-week high), 1.2604 (daily R1) and 1.2650 (round figure). While supports are aligned at 1.2478 (daily pivot) and 1.2429 (5-DMA) and below that at 1.2400 (100-DMA).

    1. R3 1.2410
    2. R2 1.2399
    3. R1 1.2392
  1. PP 1.2381
    1. S1 1.2374
    2. S2 1.2363
    3. S3 1.2355


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.