GBP/USD consolidates gains and continues to test 1.2700
- Pound holds to gains and near the 1.2700 zone, up for the week.
- Cable rebounded earlier on the back of UK Hunt’s comments.
The rebound of GBP/USD from 1.2630 found resistance below the 1.2700 area. It failed to break higher and pulled back modestly. As of writing trades at 1.2695, consolidating daily gains and testing 1.2700. A break higher could open the doors to further gains and a test of the weekly high at 1.2735.
In the short-term, the positive tone is likely to prevail as long as GBP/USD remains above 1.2665/70, below that level the next support is seen at 1.2635. A break lower would expose 1.2600. Volatility remains limited ahead of the weekend, so not much price action is expected.
Earlier today, UK Foreign Minister Jeremy Hunt, mentioned that the UK PM May’s Brexit deal could pass the parliament if the European Union offers clarification that the Irish “backstop” will be time-limited. Still, uncertainty about Brexit prevails, and it is likely to limit strong gains.
In the US, major equity indexes are modestly higher, sustaining the rebound of the previous two sessions. Regarding data, the Chicago PMI dropped in December but less-than-expected while housing data came in line with expectations.
Today Last Price: 1.269
Today Daily change: 36 pips
Today Daily change %: 0.284%
Today Daily Open: 1.2654
Previous Daily SMA20: 1.2663
Previous Daily SMA50: 1.28
Previous Daily SMA100: 1.29
Previous Daily SMA200: 1.3199
Previous Daily High: 1.2676
Previous Daily Low: 1.2616
Previous Weekly High: 1.2708
Previous Weekly Low: 1.2574
Previous Monthly High: 1.3176
Previous Monthly Low: 1.2723
Previous Daily Fibonacci 38.2%: 1.2653
Previous Daily Fibonacci 61.8%: 1.2639
Previous Daily Pivot Point S1: 1.2622
Previous Daily Pivot Point S2: 1.2589
Previous Daily Pivot Point S3: 1.2562
Previous Daily Pivot Point R1: 1.2681
Previous Daily Pivot Point R2: 1.2708
Previous Daily Pivot Point R3: 1.274