GBP/USD off lows near 1.4360

By FXStreet The sterling is trading on a softer tone at the beginning of the week, sending GBP/USD to test the lower bound of the range near 1.4350.

GBP/USD focus on UK’s CPI

The pair is prolonging its decline after last week’s important sell-off, dropping for the third consecutive week so far after May’s peaks just below the 1.4800 handle.

A better sentiment around the greenback as of late is cited among the main drivers behind the decline, while ‘Brexit’ fears seem to have picked up some pace according to recent polls.

Ahead in the week UK’s inflation figures are due tomorrow, with consensus expecting consumer prices to have risen at an annual pace of 0.5% on a year to April.

GBP/USD levels to consider

As of writing the pair is retreating 0.10% at 1.4365 facing the immediate support at 1.4326 (55-day sma) ahead of 1.4168 (78.6% Fibo of 1.4004-1.4770) and finally 1.4004 (low Apr.6). On the other hand, a surpass of 1.4466 (20-day sma) would aim for 1.4531 (high May 12) and then 1.4670 (high Feb.4).
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Source:: FX Street