The British pound remains vulnerable to further losses against the US dollar this week, following another heavily bearish weekly price close.
5 August 2019, OctaFX – Despite parliamentary recess in the UK, the Prime Minister (PM) Boris Johnson and his team keep preparing for a no-deal Brexit, which in turn exerts downside pressure on the GBPUSD pair ahead of the key Services PMI data for July.
GBPUSD technical analysis
Negative UK PMI services data later today could push the GBPUSD pair lower for a major test of the 1.2000 support level. In the near-term, if sterling bulls can regain control, they are likely to face strong resistance from the 1.2250 level.
The GBPUSD pair is bearish while trading below 1.2250, key support is found at the 1.2080 and 1.2000 levels.
If the GBPUSD pair trades above the 1.2250 level, buyers may test towards the 1.2310 and 1.2350 levels.
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