FxWirePro: GBP/USD dips after US CPI data, key support level in focus

• GBP/USD dipped on Wednesday  after data showed U.S. consumer prices rose moderately in February.

• The Consumer Price Index report showed subdued underlying inflation, but attention shifted to rising oil and gasoline prices amid the escalating Middle East war.

• The Consumer Price Index rose 0.3% last month after gaining 0.2% in January, the Labor Department's Bureau of Labor Statistics said .

• In the 12 months through February, the Consumer Price Index rose 2.4%, matching January as last year’s high readings dropped out of the calculation..

•  Meanwhile, investors remain cautious as the Middle East conflict threatens to disrupt global energy trade and trigger a price shock.

• Immediate resistance is located at 1.3426(50%fib), any close above will push the pair towards 1.3485(SMA 20)

• Support is seen at 1.3248(38.2%fib) and break below could take the pair towards 1.3229(Lower BB).

Recommendation: Good to sell  around 1.3400 with stop loss of 1.3480   and target price of 1.3330