GBP/USD looking for a direction sign, stuck in a range above 1.3100

The pair of GBP/USD fought for strong direction, and saw between gains warm/minor losses within a range trade of 50 pips wider. The pair moved from highs of the session near the region of 1.3150 and sank below 1.3100 at the start of a new trading week.

The u.s. dollar rose on Monday and led the merchants to remove some of the benefits of the table, especially after the recent rise of the pair to the highest level since September of 2016.

The early immersion, however, turned out to be shallow, with the pair taking some new offerings around the region 1.3100. The couple moved back to the region 1.3120 but lacked any conviction as investors preferred to stay on the side lines before the meeting of the bank of England on Thursday, and the data looked sharply from NFP on Friday. Meanwhile, the market seems to have largely ignored the comments of the spokesman of the british prime Minister Theresa May that the free movement of EU citizens to Britain, ending in march 2019, which has the potential to derail the prospects of a Brexit more soft. Traders now expect the economy class ticket to the united States, with the publication of the Chicago PMI data and existing home sales to a new commercial momentum.

Technical perspective

Valeria Bednarik, analyst leader of FXStreet writes, “the 4 hours chart shows that the pair is on the verge of falling over, pressing a SMA bullish and technical indicators are turning around their middle lines.

Leads to new decreases in day-to-day, first to the region of 1.3050/60, and once below this last, to 1.3010, the immediate resistance is 1.3130, with a more relevant at 1.3158, the annual maximum of the last week. For today, but would result in an approach to the region 1.3200″.

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