In general, the rate was expected to trade sideways until it is approached by the hourly simple moving averages, which would provide technical resistance.
Economic Calendar
US employment data sets are scheduled to be published on Friday at 13:30 GMT. GBP/USD moves from 21.7 to 51.3 pips have been caused by this event since September 2019.Next week's data is available. Click on the link below to see the historical data tables with the reactions to the events.
On Tuesday, at 09:30 GMT, the UK Manufacturing Production, Monthly GDP and the Preliminary Quarterly GDP are set to be published.
Usually, the Monthly GDP and Manufacturing Production are released together. A move from 11.9 to 29.8 has been caused by this event since September.
The quarterly GDP appears once every three months and causes a larger reaction than the monthly data. This release has caused moves from 16.5 to 39.2 pips since November 2018.
On Thursday, the US CPI data sets are set to be published at 13:30 GMT. The GBP/USD has moved from 8.2 to 19.4 pips because of the release.
On Friday, the US Retail Sales data will be out also at 13:30 GMT. This event has caused moves on the pair since September 2019 from 10.5 to 87.4 base points.
Note that the 87.4 pips most likely was caused by another aspect. The second largest move has been 15.5 pips.
Read More: 10.02-14.02 Event Historical Reactions
GBP/USD short-term review
The rate is expected to trade sideways between the support of the 38.20% Fibonacci retracement level at 1.2920 and the resistance of the 1.2950 level.If the 1.2950 would fail to provide resistance, the pair could reach for the 55-hour simple moving average, which by the middle of Friday was approaching the 1.2970 level.
On the other hand, in the case of the Fibonacci retracement level failing to keep the rate up, the 1.2900 level would be reached.
Hourly Chart
On the daily candle chart, the rate's decline could look for support in the 100-day SMA, which on Friday was located near 1.2890.
Daily chart
Read More: Technical Analysis
Traders are neutral on GBP/USD
Since Wednesday, 52% of open GBP/USD position volume on the Swiss Foreign Exchange was in short positions.
By the middle of Friday's GMT hours, the sentiment had become 53% long.
Meanwhile, trader orders were bullish. In the 100-pip range, 57% of orders were to buy and 43% were sell orders.
By the middle of Friday's GMT hours, the sentiment had become 53% long.
Meanwhile, trader orders were bullish. In the 100-pip range, 57% of orders were to buy and 43% were sell orders.