GBP/USD trading on thin ice below 200 DMA

By FXStreet FXStreet (Guatemala) – GBP/USD is currently trading at 1.5200 with a high of 1.5243 and low of 1.5156.

GBP/USD remains in negative territory since the major dropped below the 200 DMA last week as sentiment switched away from an early rate rise from the BoE.

Key week for GBP/USD

Data wise, it is a key week for GBP/USD. Ahead of the Nonfarm Payrolls, we will hear from Carney, who is speaking tomorrow. The PCE came in line today for the US, as the Fed’s preferred gauge for inflation, while GDP comes for the UK on Wednesday as does the ADP for the US.

GBP/USD bearish bias

The headwinds stem from the vicinity of the 50 DMA at 1.5487 below recent highs of 1.5657 scored earlier in the month. We are now testing the lows for the month, 1.5134, which will be exposed again on another break below the 152 handle and current levels. Below aforementioned lows, 1.5093 and 1.5055 are next key resistances.
For more information, read our latest forex news. …read more

Source:: FX Street