GBPUSD Still Looks Vulnerable As Bears Gain Strength
FXOpen
The Great Britain Pound (GBP) inched lower against the US Dollar (USD) on Wednesday, decreasing the price of GBPUSD to less than 1.3000 following some key economic events. The technical bias remains bullish because of a higher low in the recent upside rally.
GBP/USD Technical Analysis
As of this writing, the pair is being traded near 1.2983. A hurdle may be noted around 1.3158 (the high of the last major upside rally) ahead of 1.3247 (another key horizontal resistance) and then 1.3300 (the psychological number).
On the downside, a support can be noted around 1.2700 (a psychological number) ahead of 1.2634 (the low of the last major downside move) and then 1.2500 (the confluence of horizontal support as well as psychological number) as demonstrated in the given above chart. The technical bias shall remain bullish as long as the 1.2700 support area is intact.
Industrial Production
Greece’s industrial production growth eased markedly in June, after accelerating in the prior month, preliminary data from the Hellenic Statistical Authority showed Tuesday.
Industrial production climbed a working-day-adjusted 1.6 percent year-over-year in June, much slower than the 6.3 percent increase in May. The measure has been rising since October last year.
Among sectors, manufacturing production grew 2.8 percent annually in June, while mining and quarrying output declined by 3.6 percent.
On a monthly basis, industrial production advanced a seasonally adjusted 4.6 percent from May, when it increased by 3.5 percent.
Trade Idea
Considering the overall technical and fundamental outlook, buying the pair around current levels may be a good strategy in short to medium term.
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