GBP/USD: Bears taking back charge, eyes 1.2625 ahead of UK data
- Risk-aversion, USD rebound drags the Cable towards 1.2625 NY lows.
- Upbeat UK final GDP estimates could revive the recent bullish momentum.
- All eyes on US data flow heading into pre-Christmas thin trading.
GBP/USD witnessed good two-way trading in Asia this Friday, now heading back towards the NY lows near 1.2625, as we progress towards the European opening bells.
The spot failed several recovery attempts near 1.2675 region, as the USD buyers returned amid an uptick in Treasury yields and risk-off action in the Asian equities. The US dollar staged a rebound across its main competitors, with the USD index testing into 96.50 from monthly lows of 96.17.
Moreover, the higher-yielding pound tends to suffer amid risk-off market profile while looming Brexit uncertainty continues to keep the rallies capped in GBP/USD. The UK PM Theresa is struggling hard to push her Brexit deal through the Parliament that increases the odds of a dis-orderly Brexit. Hence, in the face of Brexit woes, the Bank of England (BOE) maintained its status-quo on the monetary policy settings a day before.
Attention now turns towards the UK current account and final GDP data due on the cards later today at 0930 GMT for fresh trading impetus ahead of the US economic releases that include the durable goods, final GDP and UoM consumer sentiment.
GBP/USD Technical Levels
Today Last Price: 1.2648
Today Daily change: -17 pips
Today Daily change %: -0.134%
Today Daily Open: 1.2665
Previous Daily SMA20: 1.2696
Previous Daily SMA50: 1.2847
Previous Daily SMA100: 1.2913
Previous Daily SMA200: 1.3231
Previous Daily High: 1.2708
Previous Daily Low: 1.2605
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%: 1.2668
Previous Daily Fibonacci 61.8%: 1.2644
Previous Daily Pivot Point S1: 1.2611
Previous Daily Pivot Point S2: 1.2557
Previous Daily Pivot Point S3: 1.2508
Previous Daily Pivot Point R1: 1.2714
Previous Daily Pivot Point R2: 1.2762
Previous Daily Pivot Point R3: 1.2816