GBP/USD Bulls back in command, re-takes 1.4000

By FXStreet The GBP/USD pair is seen reverting to the 1.40 handle, having found good support ahead of the daily pivot placed at 1.3954.

GBP/USD awaits US GDP

The GBP/USD pair trades 0.16% higher at 1.3992, testing fresh session highs reached at 1.3995. The cable’s recovery from daily lows gains ground over the last hours as risk-on sentiment is likely to extend into Europe, as reflected by higher European indices futures. The Euro Stoxx 50 futures trade 0.40% higher, while the DAX futures gain 0.48%.

Further, the modest rebound in the black gold combined with broad based USD weakness also aids the recovery in the GBP/USD pair. Looking ahead, the G20 meeting remains in focus amid a data-empty UK-docket. While a host of US macro data will be closely watched for fresh cues. The US Q4 prelim GDP report is likely to take the centrestage in the NY session.

GBP/USD Levels to consider

The pair has an immediate resistance at 1.4011/12 (daily R1/ 5-DMA), above which 1.4029/54 (Feb 24 High/ daily R2) would be tested. On the flip side, support is seen at 1.3960/54 (daily low & pivot) below which it could extend losses to towards 1.3911/00 (Daily S1/ round number).
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Source:: FX Street