GBP/USD Current price: 1.3049
- UK employment data mixed, unemployment rate steady, claimant count sharply up.
- The preliminary estimate of the UK Q2 GDP is foreseen at -20.5% from -2.2% in Q1.
- GBP/USD would gain bearish traction on a break below 1.2980.
The GBP/USD pair posted a modest intraday advance for a second consecutive day, although still trading within Friday’s range. The pair was supported by mixed UK employment data and a weakening dollar. According to the official figures, the kingdom’s ILO unemployment rate remained steady at 3.9% in the three months to June, better than the 4.2% expected. However, the Claimant Count Change for July disappointed by jumping to 94,400, far worse than the 10K projected. The pair peaked at 1.3131 right after the release, later retreating towards the current 1.3050 price zone.
This Wednesday, the UK will have quite a busy day, as it will publish several relevant reports, including the preliminary estimate of Q2 GDP, foreseen at -20.5% from -2.2% in Q1. The country will also publish June Industrial Production, foreseen at -12.8% YoY, and Manufacturing Production for the same month, anticipated at -15% from -22.8% previously.
GBP/USD short-term technical outlook
The GBP/USD pair is technically neutral according to intraday readings. The 4-hour chart shows that the pair is hovering around a mildly bearish 20 SMA, while still below the larger ones. Technical indicators, in the meantime, lack directional strength around their midlines. The upcoming direction will mostly depend on the dollar’s behaviour, with increased chances of a bearish extension on a break below 1.2980.
Support levels: 1.3030 1.2980 1.2940
Resistance levels: 1.3105 1.3150 1.3190
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 Gains look limited by 1.1570 Premium
EUR/USD trades well on the defensive for the second day in a row, revisinting the mid-1.1300s on the back of the continuation of the upside impulse in the US dollar. The move followed firmer US PMI data and news indicating the White House may be considering tariff cuts on Chinese imports.
GBP/USD deflates to the sub-1.3300 area, USD bulls prevail
GBP/USD remained on the back foot Wednesday, slipping below the 1.3300 level as the Greenback gained further traction. The Dollar’s solid performance was supported by strong US data and fading concerns over a renewed escalation in the US–China trade dispute.
Gold corrected extreme conditions, struggles around $3,300
Gold extended its decline on Wednesday, slipping below the $3,300 mark per troy ounce in response to reports from the media suggesting the Trump administration is weighing tariff reductions on Chinese goods, a news that revived hopes of easing trade tensions and reduced demand for the yellow metal as a safe-haven asset.
Bitcoin bullish momentum builds as premium exceeds 9% for first time in three months
Bitcoin price is extending its gains, trading above $94,000 at the time of writing on Wednesday, following a two-day rally of 9.75% so far this week. BTC rally gathers momentum as trade war fears ease, following US President Donald Trump’s downplaying of tensions with China.
Five fundamentals for the week: Traders confront the trade war, important surveys, key Fed speech Premium
Will the US strike a trade deal with Japan? That would be positive progress. However, recent developments are not that positive, and there's only one certainty: headlines will dominate markets. Fresh US economic data is also of interest.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.