GBPUSD Continues To Grind Ahead of UK Retail Sales Data

Published by

Written By: Crispus Nyaga

Nov 20, 2020, 05:18 GMT 05:18

GBPUSD

Summary:

The GBPUSD continues to be bought ahead of the important UK retail sales numbers. Here are the key expectations for the pair today

The GBPUSD is tilting higher in the Asian session as traders wait for the UK retail sales data. It is up by 0.11% and trading at 1.3276.

The UK will release the October retail sales and public sector net borrowing numbers at 07:00 GMT. Analysts believe that the country’s overall sales rose in October as people rushed to buy in anticipation of new lockdowns. In total, they see the overall sales and core retail sales rising by an annualised rate of 4.2% and 5.9%, respectively.

These numbers will come a day after the chief Brexit negotiators postponed negotiations after some members of the team tested positive for the virus.

GBPUSD technical analysis

The GBPUSD has been on a strong uptrend as shown in the 30-minute chart below. The price is 0.60% higher than yesterday’s low of 1.3196. It is also 0.25% below Wednesday’s high of 1.3311.

I suspect that the pair will continue rising before the UK retail sales data, as bulls aim for the first resistance level of the standard pivot points at 1.3300. Also, I expect the rally will continue if the sales numbers beat the consensus, with an upper target

On the flip side, if the numbers miss by a big margin, we could see a pullback to the important support level at 1.3246.

GBPUSD technical chart

Written By: Crispus Nyaga

Crispus Nyaga is an analyst and consultant with more than 8 years of experience. He started trading Forex while completing his BSc degree and he has worked for brokers like OctaFX, easyMarkets, & Capital. He has also contributed widely in leading websites like rkdream.com, SeekingAlpha, iNvezz, DailyForex, and BanklessTimes. In 2017, Crispus completed his MBA.