GBPUSD: Slightly Lower Ahead of FOMC Minutes
GBPUSD trades 0.15% lower at 1.2145 after the pair yesterday managed to breach above the 1.21 mark. Yesterday the pair found support at 1.2063 a level that has proved strong support and rebounded sharply higher above 1.21 adding almost 100 pips. The pair last week got a boost from the UK Retail Sales which rose 0.2% m/m in July beating forecasts, suggesting that the British economy is in better shape than investors feared.
GBPUSD broke above the 100 and 200 hour moving averages and as of writing holds also above the 50 hour moving average. On the upside immediate resistance now stands at 1.2174 the daily high while more offers will emerge at 1.2289 zone. Intraday traders can enter a long position if the pair breaks above 1.2174, targeting a break above 1.22, a stop order should be activated at 1.2128 the daily low. Short positions targeting below 1.21 should place stop loss orders at 1.2174. The bias today is neutral for the pair as traders wait the FOMC minutes from the July meeting later today.