STERLING RECOVERY CONTINUES ABOVE 1.3018
The GBPUSD pair continues to push higher towards the weekly price high set on Monday, at 1.3057. Sterling faltered towards the 1.3007 level during the European session but soon found strong buying at the hourly time frame, 200 period moving average.
GBPUSD traders now look to the release of U.S consumer confidence during the U.S session, which is expected to turn lower. Later today we also have a key speech from Bank of England Chief Economist, Andrew Haldane, who is known for his Hawkish views on raising UK rates.
Sterling remains bullish on all time frames whilst trading above the 1.3018 and 1.3024 levels, which represent the daily and weekly GBPUSD pivot points.
A series of higher time frame price close above the 1.3047 level, should encourage buying towards the 1.3090 and 1.3122 levels, however, it should be noted GBPUSD remains cautious ahead of the release of UK second quarter GDP.
To the downside, the 1.3018 level remains strong GBPUSD support, with the 1.2990 also offering solid intraday support. A series of higher time price closes beneath the 1.2974 level are currently needed to negate the bullish outlook.