FxWirePro: GBP/USD pauses recent rally to fall below 1.2950
GBP/USD declined on Wednesday as sterling was weighted by the initial round of posturing by Britain and the European Union over Brexit negotiations, largely brushing off positive UK construction data. In the month since …
GBP/USD declined on Wednesday as sterling was weighted by the initial round of posturing by Britain and the European Union over Brexit negotiations, largely brushing off positive UK construction data.
In the month since Prime Minister Theresa May submitted formal divorce papers, Brexit has been overshadowed by a public display of brinkmanship as Britain and the rest of the European Union set out their stalls for the tortuous exit negotiations.
A stronger U.S. dollar also added losses for the Sterling as the dollar firmed before a U.S. central bank statement that may signal a rate hike next month.
Further upside for this pair is expected to be limited as strong resistance level at 1.3000 is set to limit upside and bring decline towards lower levels.
To the upside, immediate resistance can be seen at 1.2973, a break above this level would expose the cable to next resistance level at 1.3000 levels.
To the downside strong support can be seen at 1.2900, a break below at this level will open the door towards next level at 1.2856.
