• GBP/USD declined on Monday as dollar strengthened as investors awaited key economic data this week for clues on the path of U.S. and British monetary policy. .
• Investors are awaiting U.S. inflation data as well as British labour market data and September GDP data later this week for hints on how far and fast the Fed and the Bank of England will cut rates this year and next.
• At (GMT 17:26) GBP/USD was trading at down 0.37% at 1.2866 against the U.S. dollar.
• Technical signals are strongly bearish RSI is at 41, daily momentum studies 5, 9 and 10 DMAs are trending down
• Immediate resistance is located at 1.2930( Daily high), any close above will push the pair towards 1.3006(38.2%fib)
• Strong support is seen at 1.2858(23.6%fib) and break below could take the pair towards 1.2830 (Lower BB).
Recommendation: Good to sell around 12870, with stop loss of 1.2930 and target price of 12820
