GBP/USD jumps to 1.2700 neighborhood on stellar UK retail sales data, BoE next
• The USD struggles to build on the post-FOMC rebound and helps regain traction.
• UK retail sales growth, at 1.4%m/m surpassed even the most optimistic estimates.
The GBP/USD pair built on its goodish intraday rally and spiked back closer to the 1.2700 handle on upbeat UK macro data.
Despite not so dovish FOMC outlook as was anticipated by the market, the US Dollar struggled to build on the overnight rebound and assisted the pair to regain positive traction on Thursday.
The pair kept scaling higher through the early European session and got an additional boost from upbeat UK monthly retail sales data, recording a strong 1.4% m/m growth in November.
The post-data spike, however, turned out to be short-lived as investors now look forward to the latest BoE policy decision for some fresh impetus. The UK central bank is expected to maintain status-quo amid the political deadlock over the UK efforts to exit the European Union and might turn out to be a non-event for the market.
Technical levels to watch
Today Last Price: 1.268
Today Daily change: 64 pips
Today Daily change %: 0.507%
Today Daily Open: 1.2616
Previous Daily SMA20: 1.2706
Previous Daily SMA50: 1.2858
Previous Daily SMA100: 1.2916
Previous Daily SMA200: 1.3238
Previous Daily High: 1.268
Previous Daily Low: 1.2607
Previous Weekly High: 1.276
Previous Weekly Low: 1.2477
Previous Monthly High: 1.3176
Previous Monthly Low: 1.2723
Previous Daily Fibonacci 38.2%: 1.2635
Previous Daily Fibonacci 61.8%: 1.2652
Previous Daily Pivot Point S1: 1.2588
Previous Daily Pivot Point S2: 1.2561
Previous Daily Pivot Point S3: 1.2516
Previous Daily Pivot Point R1: 1.2661
Previous Daily Pivot Point R2: 1.2707
Previous Daily Pivot Point R3: 1.2734