GBP/USD unable to gather momentum

By FXstreet.com | August 26, 2014 AAA

FXStreet (Córdoba) - The GBP/USD remains in consolidation mode Tuesday, unable to set a short-term direction and hovering just below 1.6600.

In the absence of first-tier economic data and despite UK traders rejoining the market after a national holiday, the Cable has failed to gather pace and continues to mark time near a 5-month low of 1.6535 scored at the weekly opening. At time of writing, the GBP/USD is trading at 1.6577, unchanged on the day.

During the New York session, the US will release durable goods orders and consumer confidence data which may wake up the dollar, which is taking a breather following sharp gains across the board.

GBP/USD technical outlook

"Considering the pair is trading at a 5-month low, after a steady 7 weeks slide, some may consider an interim bottom is under way", said Valeria Bednarik, chief analyst at FXStreet. "But the fact is that is too early to think about it, more with price unable to pick up: the dominant trend is still bearish, and current consolidative stage is more a pause, looking for a trigger, than a sign of clear exhaustion".

comments powered by Disqus
Related Forex Analysis
  1. USD/JPY Traders Await Clearer Guidance As A Doji Signals Hesitation
    Forex News

    USD/JPY Traders Await Clearer Guidance As A Doji Signals Hesitation

  2. USD/JPY is dancing around 107.00
    Forex News

    USD/JPY is dancing around 107.00

  3. USD/CAD Tests Critical Barrier As Intraday Dojis Denote Indecision
    Forex News

    USD/CAD Tests Critical Barrier As Intraday Dojis Denote Indecision

  4. NZD/USD Stalls At 0.8000 Barrier As A Doji Arises & Volume Fades
    Forex News

    NZD/USD Stalls At 0.8000 Barrier As A Doji Arises & Volume Fades

  5. EUR/USD sidelined above 1.2700
    Forex News

    EUR/USD sidelined above 1.2700

Trading Center