The GBP/USD currency pair has been trading sideways between the 55-, 100- and 200-hour moving averages since yesterday.
If the given moving averages hold, it is expected, that the pair could continue to trade sideways.
The British Pound appreciated against the US Dollar, following the UK Average Earnings Index data release on Tuesday at 08:30 GMT. The GBP/USD exchange currency rate gained 21 pips or 0.17% right after the release. The British Pound continued trading at the 1.2700 level against the Greenback.
Office for National Statistics released the UK Average Earnings Index data, which came out better-than-expected of 3.1% compared with forecast 2.9%.
According the official release: "Between February to April 2018 and February to April 2019 for employees in Great Britain regular pay was estimated to have increased by 3.4% in nominal terms and by 1.5% in real terms. The total pay was estimated to have increased by 3.1% in nominal terms and by 1.2% in real terms."
US data releases could move GBP/USD rate
On Wednesday, June 12, the US CPI data release will happen at 12:30 GMT. Note, that previous release caused a fifteen-pip move.
On Friday, June 14, the US Retail Sales data will be released at 12:30 GMT. Last time, the rate made an eleven-pip move.
GBP/USD short-term review
Yesterday, the GBP/USD exchange rate traded sideways between the 55-, 100– and 200-hour SMAs, located at 1.2700 and 1.2673 respectively.If the given moving averages hold, it is likely, that the rate could continue to trade sideways in the nearest future.
It is the unlikely case, that bears could prevail in the market, and the currency pair could decline lower than 1.2646 level due to the support of the weekly S1.
Also, from the technical point of view, it is unlikely, that the pair could trade upwards, as it is pressured by the weekly PP at 1.2705.
Hourly Chart
As apparent on the chart, the GBP/USD exchange rate could not surpass the resistance level formed by the monthly PP at 1.2792.
The rate could trade sideways around the psychological level at the 1.2700 mark. Also, note, that the rate is pressured by the 55-, 100- and 200-day SMAs, thus, it is unlikely, that bulls could prevail in the market.
Daily chart
On Tuesday, 68% of positions on the Swiss Foreign Exchange were long.
Meanwhile, trader set up pending orders in the 100-pip range were neutral, as 50% of orders were set to buy.