GBP/USD broke above the 1.40 level last week but was unable to hold above this line and had to settle for slight gains over the week. The upcoming week has five releases. Here is an outlook for the highlights and an updated technical analysis for GBP/USD.
- CBI Realized Sales: Tuesday, 10:00. Sales volumes have been mired deep in negative territory, with the past two readings at -45. The indicator is expected to punch into positive territory in April, with an estimate of +9 points.
- BRC Shop Price Index: Tuesday, 23:01. The British Retail Consortium continues to post declines and came in at -2.4% in March. We now await the April data.
Technical lines from top to bottom:
We start with resistance at 1.4070.
1.3956 is next.
1.3824 (mentioned last week) is the first support level.
1.3726 is next.
1.3612 is the final support level for now.
I am bullish on GBP/USD
The US dollar continues to stumble, while the pound showed last week that the 1,40 level is within striking distance. The UK economy will strengthen as the reopening continues, which bodes well for the pound.