On Tuesday, the GBP/USD currency exchange rate surged and touched the 1.3880 level. The zone above this level has kept the currency pair down throughout September.
Economic Calendar
The week's notable events will start on Tuesday. At 12:30 GMT, the US statisticians are scheduled to publish the monthly Consumer Price Index and Core Consumer Price Index data. The GBP/USD has moved from 21.7 to 58.0 points in a span of ten minutes around the release since April 2021.
On Wednesday morning, the Pound's traders are bound to watch the publication of United Kingdom's Consumer Price Index data at 06:00 GMT. The UK's release has created GBP/USD moves from 8.8 to 21.8 pips during the last half-year.
On Thursday, at 12:30 GMT, the US Retail Sales and Core Retail Sales data sets are set to be released to the public. The event has created moves from 13.2 to 29.6 pips since April.
Note that at the same time the US Unemployment Claims are scheduled to be released.
On Friday, the UK Retail Sales could cause a minor increase of volatility on GBP pairs at 06:00 GMT. For example, the GBP/USD has moved from 7.4 to 15.6 pips on the release.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
GBP/USD short-term review
If the pair manages to break the resistance of the 1.3880 zone, the rate could reach for the resistance of the 1.3900 mark and the weekly R1 simple pivot point at 1.3910. Above these levels, the weekly R2 provides resistance at 1.3981.On the other hand, another bounce off from the resistance zone could look for support in the 55-hour simple moving average at 1.3844. Below the SMA, two additional SMAs could act as support. Namely, the 100 and 200-hour simple moving averages on Tuesday were located near 1.3820.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the rate trades in limbo around the 55 and 200-day simple moving averages near the 1.3810/1.3830 zone.Meanwhile, the 100-day SMA remains near the 1.3920 level.
Daily chart
Read More: Technical Analysis
Traders are short
On Tuesday, traders were short, as 63% of trader open position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, in the 100-pip range around the rate the pending orders were 68% to sell.
On Tuesday, traders were short, as 63% of trader open position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, in the 100-pip range around the rate the pending orders were 68% to sell.