FXStreet (Mumbai) – The British pound accelerated losses versus the US dollar during the European session, pushing GBP/USD lower towards 1.58 handle. The major remains pressured as traders remain on the side lines awaiting Greek outcome from upcoming Euro group meeting. While a broadly stronger US dollar also keeps the pair undermined.
GBP/USD drops from 1.5865
The GBP/USD pair trades lower by -0.36% at fresh session lows of 1.5826, dropping more than 70 pips from daily highs printed at 1.5910. The cable extends losses below 1.5850 levels and looks to test 1.58 barrier as traders favour the reserve currency ahead of the Greek decision.
The US dollar index, the virtual gauge of the greenback’s relative strength trades 0.11% higher at 94.41 levels, recovering from a dip to 94.29.
Moreover, expectations that US existing home sales are likely to resume uptrend in May also boosts the greenback, dragging GBP/USD lower. US existing home sales data will be published at 14GMT with expectations of 5.27M additions in June against 5.04M figures booked in May.
Meanwhile, traders also await a host of US macro data due to be released tomorrow, including durable goods orders, manufacturing PMI and new home sales for further USD moves.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.5910 (Today’s High) above which gains could be extended to 1.5930 (June 18 High) levels. On the flip side, support is seen at 1.5803 (June 18 Low) below which it could extend losses to 1.5760 levels.
(Market News Provided by FXstreet)