The GBP/USD pair is seen reversing most gains heading towards the European open, as the bears appear to regain control amid deteriorating risk sentiment. Moreover, how is the pair reacting to the weekend's news of the US-led airstrikes on the Syrian chemical weapons facilities? Gain insight into this 16 April GBPUSD Intraday Technical Outlook.
16 April, OctaFX – The British pound has opened the new trading week with a bullish tone against the U.S dollar, despite buyers failing to close the former weekly candle above the pairs 200-week moving average.
The GBPUSD pair currently trades around the 1.4250 level, after finding strong technical resistance from the 1.4295 level on Friday. Traders continue to look towards the pairs 200-week moving average for guidance, with sterling’s last week close above this key technical indicator dating back to November 2015.
Markets stay focused on the US retail sales ahead of a Big week
Moreover, markets prefer to remain in a wait and see mode before placing any big bets on the pound ahead of a data-intensive big week ahead, as all eyes remain on the UK jobs, CPI and retail sales figures to gauge the Bank of England’s (BOE) next policy move.
In the meantime, the risk trends amid developments around the global politics will continue to drive the risk asset, Cable, ahead of the US retail sales report and Fedspeaks due later on Monday.
16 April GBPUSD Intraday Technical Outlook
The GBPUSD pair maintains a strong intraday bullish bias while trading above the 1.4255 level, with key resistance, is located at the 1.4295 and 1.4345 levels.
Should the GBPUSD pair fail to hold above the 1.4255 level, sellers may test towards the 1.4200 and 1.4146 support levels.
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