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Pound Sterling Price News and Forecast: GBP/USD buyers hesitate after dismal UK data

GBP/USD outlook: Cable eases on downbeat UK data, but needs to clear key supports to signal reversal

GBP/USD dips on Friday morning following much bigger than expected drop in UK retail sales, which fell by 3.2% in July after 1.6% drop in June and strongly beating forecast for 2.2% fall. Traders sold pound after downbeat data further boosted fears about the negative impact on the economy, already hit by high inflation and 14 consecutive interest rate increases, which push the borrowing cost to 5.25%.

Fresh weakness cracked pivotal supports at 1.2724/17 zone (daily cloud base / Fibo 38.2% of 1.2616/1.2787 recovery leg / daily Tenkan-sen) but needs to register close below these levels to confirm bearish signal. Although recent weakness was contained by daily Ichimoku cloud and subsequent recovery was moving along with rising cloud top, long upper shadows of daily candles in past three days, warned of strong offers and persisting risk of recovery stall, as near-term bulls likely got trapped above 20DMA (1.2770). Read more...

GBPUSD

GBP/USD Forecast: Buyers hesitate after dismal UK data

GBP/USD failed to clear important technical resistance at 1.2770 and came under renewed bearish pressure following the disappointing UK data early Friday. The near-term technical outlook fails to offer directional clues but the cautious market stance is likely to make it difficult for the pair to gain traction ahead of the weekend.

Retail Sales in the UK declined 1.2% on a monthly basis in July. Retail Sales ex-Fuel contracted 1.4% in the same period. Both of these readings came in worse than analysts' estimate and cause Pound Sterling to weaken against its major rivals. Read more...

GBPUSD

GBP/USD retreats from weekly high after, undermined by downbeat UK Retail Sales

GBP/USD snaps a three-day winning streak, currently hovering around 1.2720 in the Asian session on Friday. The GBP/USD pair is experiencing downward pressure due to softer retail sales data from the United Kingdom (UK).

UK Retail Sales declined 1.2% in July on month, swinging from a 0.6% increase in June significantly below the 0.5% decline that was expected for July. Moreover, the year-on-year figures showed a contraction of 3.2%, against the previous -1.6% and falling short of the projected -2.1%. Read more...

GBP/USD

Overview
Today last price1.2702
Today Daily Change-0.0045
Today Daily Change %-0.35
Today daily open1.2747
 
Trends
Daily SMA201.2772
Daily SMA501.2785
Daily SMA1001.2624
Daily SMA2001.2375
 
Levels
Previous Daily High1.2788
Previous Daily Low1.2703
Previous Weekly High1.2819
Previous Weekly Low1.2666
Previous Monthly High1.3142
Previous Monthly Low1.2659
Daily Fibonacci 38.2%1.2755
Daily Fibonacci 61.8%1.2735
Daily Pivot Point S11.2704
Daily Pivot Point S21.2661
Daily Pivot Point S31.2619
Daily Pivot Point R11.2789
Daily Pivot Point R21.2831
Daily Pivot Point R31.2874

Author

FXStreet Team

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

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