• GBP/USD strengthened on Monday as risk sentiment improved on optimism over a de-escalation in U.S.-China trade tensions.
• U.S. Treasury Secretary Scott Bessent and Chinese Vice Commerce Minister Li Chenggang said they held constructive talks over the weekend, signaling progress in efforts to ease trade tensions between the two nations.
• This boosted hopes for a trade deal ahead of Thursday’s meeting between President Trump and Chinese leader Xi Jinping in South Korea, while a quiet day is expected for U.K. data on Monday.
•The UK faces a quiet week ahead with no major economic data releases or policy announcements scheduled. With the calendar largely empty
• Investor focus this week will also be on central bank meetings in Japan, Canada, Europe and the United States.
• Immediate resistance is located at 1.3358( 50%fib), any close above will push the pair towards 1.3388(SMA 20)
• Strong support is seen at 1.3264 (38.2%fib) and break below could take the pair towards 1.3242(Lower BB).
Recommendation: Good to sell around 1.3330, with stop loss of 1.3400 and target price of 1.3260
