OctaFX | OctaFX Forex Broker
Open trading account

GBP/USD holds steady above 1.2900 mark post-UK retail sales, lacks follow-through

  • GBP/USD finds some support from stronger-than-expected UK retail sales figures.
  • Fears of a no-deal Brexit held bulls on the sidelines and kept a lid on the upside.

The GBP/USD pair edged higher to fresh session tops, around the 1.2920-25 region post-UK macro data, albeit lacked any strong follow-through.

According to the data released this Thursday, the UK monthly retail sales recorded a growth of 0.9% in January as compared to 0.7% expected and the previous month's fall of 0.5% (revised higher from -0.6% reported earlier.

Bulls seemed reluctant

Adding to this, the yearly rate also bettered expectations and came in to show a rise of 0.8%, though was still below the 0.9% growth posted in December. Meanwhile, sales excluding fuel increased by 1.6% MoM and 1.2% YoY, again beating estimates.

The upbeat readings, however, failed to impress amid persistent fears that Britain might crash out of the European Union at the end of the transition period later this year, which eventually kept a lid on any strong positive move.

With Thursday's key UK macro data out of the way, the incoming Brexit-related headlines might continue to act as an exclusive driver of the sentiment surrounding the sterling and produce some meaningful trading opportunities.

Technical levels to watch


UK Retail Sales rises 0.9% MoM in Jan vs. +0.7% expected, GBP/USD jumps

The UK retail sales came in at +0.9% over the month in January vs. +0.7% expected and -0.5% previous. The core retail sales, stripping the auto motor
Read more Previous

Chile: Copper and political uncertainties strain the CLP – Nordea

The CLP collapsed last year to all-time-low levels following the eruption of anti-government protests. The CLP risks are still tilted to the downside
Read more Next
Start livechat