GBP/USD got another disappointment and slid to 1.6570

By FXstreet.com | August 21, 2014 AAA

FXStreet (Moscow) - GBP/USD climbed higher to 1.6596 before the UK Retail Sales release, and slid to 1.6570 post the report.



Retail Sales out



The pound rebounded from the Asian lows and tried to go back to 1.66 area before the Retail Sales data came out. The report showed the rise of consumption demand by not impressive 0.1% mom, and 2.6% yoy vs 0.4% mom, and 3.0% yoy expected, triggering the new stage of the pound weakness. The recent MPC minutes gave the pound a hope for recovery, however, more positive surprises are needed to see a full-blown rally. The USD strength also remains a headwind for the pair movement. The initial target to the downside may lie at 1.6532.



What are today’s key GBP/USD levels?



Today's central pivot point can be found at 1.6622, with support below at 1.6532, and 1.6474, with resistance above at 1.6654, 1.6712 and 1.6744. Hourly Moving Averages are bearish, with the 200SMA at 1.6707 and the daily 20EMA bearish at 1.6798. Hourly RSI is bearish at 45.



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