FXStreet (Mumbai) – A high volatility in the European currencies amid Greek deal saga saw the GBP/USD pair drop to a low of 1.5675 before rising to a fresh session high of 1.5721. The spot now trades just above 1.57.
Greek deal overshadows UK data
The cable recovered from the low of 1.5675, tracking the recovery in the EUR/USD even though the UK CBI reported sales in June printed at 29 Vs. expectation of 35. The EUR recovered after a Greek government official said his country has offered new proposals, which were termed as a basis for a deal by the EU.
However, the markets have turned highly impulsive and volatile in the last hour or so. Hence, it remains to be seen if the cable holds above 1.57 as we head into the US personal income and spending report.
GBP/USD Technical Levels
The immediate support is seen at 1.5694 (weekly 50-MA), under which the pair could drop to 1.5637 (38.2% Fib R of 1.5169-1.5928). On the flip side, a break above 1.5721 could see the pair target 1.5749 (23.6% Fib R of 1.5169-1.5928).
(Market News Provided by FXstreet)