The UK’s economy is doing relatively well, which could mean more inflation-taming-hikes. There is political uncertainty in the UK. The price is ranging on the charts. After positive UK retail sales data, the GBP/USD outlook pushed slightly higher on Friday. Retail sales for May came in higher than the expected -0.7% at -0.5%. This data indicated a rise in economic activity through increased consumer spending. This news comes after June’s positive UK PMI data was released yesterday. However, all this good news is being weighed down by political risks and recession concerns. -Are you interested in learning about forex live calendar? Click here for details- These numbers favor the UK’s economic outlook, enabling the Bank of England to keep up its aggressive fight against inflation. “it is a relief to the market that the UK services PMI was not weaker due to the long Jubilee weekend,” said Jane Foley, head of FX strategy at Rabobank in London. Investors were also careful in the markets as the UK’s ruling Conservative Party was contesting two by-elections yesterday. A defeat could lead to the ousting of Prime Minister Boris Johnson after months of scandal. “Losses for the Tories today will contribute to the ongoing clouds hanging over the PM’s prospects as party leader,” said Rabobank’s Foley. GBP/USD key events today GBP/USD investors will pay attention to speeches from two members of the Bank of England’s Monetary Policy Committee (MPC), which might contain clues on future rate hikes. From the US, there will be new home sales data, which will indicate the state of the housing sector and the economy at large. This data measures the percentage change in new home sales. Get FREE Forex Signals Now! GBP/USD technical outlook: Short-term bulls might retest 1.2405 Looking at the 4-hour chart, the price has pushed slightly above the 30-SMA after experiencing support at 1.2200, which is a psychological level. The price is caught between the recent swing high at 1.24057 and the swing low at 1.19337. The price is trading very close to the 30-SMA in a sideways move, with short-term bears pushing it higher. RSI favors bulls as it is trading above 50. -Are you interested in learning about forex signals? Click here for details- If bulls can gain more momentum, we could see them pushing the price to retest the recent swing high and possibly break above. However, bearish momentum would push the price below the SMA to retest the recent swing low. Looking to trade forex now? Invest at eToro! Trade Forex Now! 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal Majors share Read Next AUD/USD Price Pushing Below 0.69 Amid Collapsing Commodity Prices Saqib Iqbal 7 months The UK's economy is doing relatively well, which could mean more inflation-taming-hikes. There is political uncertainty in the UK. The price is ranging on the charts. After positive UK retail sales data, the GBP/USD outlook pushed slightly higher on Friday. Retail sales for May came in higher than the expected -0.7% at -0.5%. This data indicated a rise in economic activity through increased consumer spending. This news comes after June's positive UK PMI data was released yesterday. However, all this good news is being weighed down by political risks and recession concerns. -Are you interested in learning about forex live… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.