- GBP/USD advanced toward 1.2750 in the European session on Tuesday.
- The USD could struggle to find demand in case risk mood improves later in the day.
- 1.2760 aligns as immediate resistance for the pair.
GBP/USD gained traction and advanced toward 1.2750 early Tuesday after closing the first day of the week virtually unchanged. The near-term technical outlook points to a build-up of bullish momentum.
Pound Sterling price today
The table below shows the percentage change of Pound Sterling (GBP) against listed major currencies today. Pound Sterling was the strongest against the US Dollar.
| USD | EUR | GBP | CAD | AUD | JPY | NZD | CHF | |
| USD | -0.24% | -0.25% | -0.06% | -0.37% | -0.45% | -0.37% | -0.22% | |
| EUR | 0.24% | -0.01% | 0.18% | -0.13% | -0.26% | -0.12% | 0.02% | |
| GBP | 0.24% | 0.01% | 0.17% | -0.14% | -0.27% | -0.12% | 0.02% | |
| CAD | 0.06% | -0.17% | -0.18% | -0.30% | -0.44% | -0.30% | -0.15% | |
| AUD | 0.37% | 0.13% | 0.10% | 0.29% | -0.13% | 0.00% | 0.15% | |
| JPY | 0.49% | 0.23% | 0.22% | 0.41% | 0.12% | 0.12% | 0.26% | |
| NZD | 0.35% | 0.13% | 0.12% | 0.30% | -0.01% | -0.15% | 0.15% | |
| CHF | 0.21% | -0.02% | -0.03% | 0.15% | -0.15% | -0.28% | -0.13% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent EUR (base)/JPY (quote).
The upbeat market mood made it difficult for the US Dollar (USD) to gather strength early Tuesday and helped GBP/USD push higher. A Bloomberg report claiming that China was considering an equity market rescue package worth about 27 billion USD triggered a rally in Asian equity indexes and Hong Kong's Hang Seng gained nearly 3%.
Meanwhile, the decline seen in the USD/JPY pair following the Bank of Japan (BoJ) Governor Kazuo Ueda's comments in the post-meeting press conference forced the USD to stay on the back foot and further supported GBP/USD.
The UK's FTSE 100 Index opened marginally higher and US stock index futures were last seen trading little changed on the day. In the absence of high-tier data releases and fundamental drivers, a risk rally in Wall Street could put additional weight on the USD's shoulders.
On Wednesday, S&P Global will release Manufacturing and Services PMI reports for the UK and the US.
GBP/USD Technical Analysis
The Relative Strength Index (RSI) indicator on the 4-hour chart climbed to 60 and GBP/USD closed the last two 4-hour candles above the 100-period Simple Moving Average (SMA), highlighting a build-up of bullish momentum.
On the upside, 1.2760 (static level) aligns as immediate resistance before 1.2780 (static level) and 1.2820 (end-point of the latest uptrend).
Strong support is located at 1.2700 (100-period SMA; 50-period SMA) ahead of 1.2680 (200-period SMA) and 1.2650 (50-day SMA, Fibonacci 23.6% retracement of the latest uptrend).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
EUR/USD treads water just above 1.0400 post-US data
Another sign of the good health of the US economy came in response to firm flash US Manufacturing and Services PMIs, which in turn reinforced further the already strong performance of the US Dollar, relegating EUR/USD to the 1.0400 neighbourhood on Friday.
GBP/USD remains depressed near 1.2520 on stronger Dollar
Poor results from the UK docket kept the British pound on the back foot on Thursday, hovering around the low-1.2500s in a context of generalized weakness in the risk-linked galaxy vs. another outstanding day in the Greenback.
Gold keeps the bid bias unchanged near $2,700
Persistent safe haven demand continues to prop up the march north in Gold prices so far on Friday, hitting new two-week tops past the key $2,700 mark per troy ounce despite extra strength in the Greenback and mixed US yields.
Geopolitics back on the radar
Rising tensions between Russia and Ukraine caused renewed unease in the markets this week. Putin signed an amendment to Russian nuclear doctrine, which allows Russia to use nuclear weapons for retaliating against strikes carried out with conventional weapons.
Eurozone PMI sounds the alarm about growth once more
The composite PMI dropped from 50 to 48.1, once more stressing growth concerns for the eurozone. Hard data has actually come in better than expected recently – so ahead of the December meeting, the ECB has to figure out whether this is the PMI crying wolf or whether it should take this signal seriously. We think it’s the latter.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.