Pound Sterling holds gains near 1.3000 ahead of UK inflation data
The Pound Sterling (GBP) consolidates slightly below the psychological resistance of 1.3000 against the US Dollar (USD) in Tuesday’s London session. The GBP/USD pair struggles to extend its upside as the US Dollar gains ground after Federal Reserve (Fed) Chair Jerome Powell’s speech at the Economic Club of Washington on Monday.
The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, manages to hold the key support at around 104.00. Powell acknowledged that recent inflation data has added confidence that inflation is on course to return to the desired rate of 2%. Read more...
GBP/USD Forecast: Pound Sterling could struggle to gain traction ahead of key UK data
GBP/USD lost its traction after coming in within a touching distance of 1.3000 on Monday and closed the day modestly lower. The pair holds steady slightly above 1.2950 in the European session on Tuesday.
The cautious market mood helped the US Dollar (USD) find a foothold at the beginning of the week, causing GBP/USD to correct lower from the highest level it touched in nearly a year. During the American trading hours, Federal Reserve (Fed) Chairman Jerome Powell said that inflation readings in the second quarter represented further progress but repeated that he is not going to send any signals on any particular meeting. Read more...
GBP/USD outlook: Cable is holding near 1.3000 barrier ahead of Powell's speech
Cable keeps form tone on Monday and hit new yearly high, trading just ticks under psychological 1.30 barrier. The pair advanced strongly in past two weeks and bulls may start to lose traction on facing headwinds from 1.30 resistance, as daily studies are overbought, and 14-d momentum indicator is turning south at very high levels in the positive territory.
Markets also await the speech from Fed Chairman Powell, later today, expecting more signals from the central bank about the monetary policy. Read more...
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