GBPUSD SUBDUED AHEAD OF KEY INFLATION DATA
The GBPUSD pair remains subdued around the 1.2965 level, which is the 23.6 percent Fibonacci retracement of the January price low, to the current yearly price, ahead of key UK inflation data for July.
The UK consumer price index is expected to remain flat for the month of July, whilst the year on year comparison figure is forecasted to increase by just 0.1 percent.
Sterling remains strongly bearish on all time frames, and risks falling below the pairs 50-day moving average, at 1.2933, on weaker than expected UK inflation figures.
Key technical support is found at 1.2950 and 1.2933, with critical weekly support found at the GBPUSD pairs 100-day moving average, at 1.2860.
Key technical resistance is found at the GBPUSD daily pivot point, at 1.2979, and the key 1.3000 level. Further upside resistance is found at the 10-day moving average at 1.3033, and the key 1.3047 level.