The Sterling is looking upward, but significant headwinds remain in the way. Tuesday brings another iteration of the UK’s GDP reading as Brexit concerns begin mounting once more. The GBP/USD is trading just shy of 1.31 as markets round the corner into Tuesday’s UK market session which sees a healthy dose of UK economic data as well as expectations of further Brexit headlines. The Sterling is struggling to keep a bullish recovery on the rails from last week’s turnaround at 1.3030, and GBP buyers will be hoping to keep the Cable upright with US markets due to return to the fray later today after a long weekend, but of more import will be ongoing Brexit headlines, and the recent flow of hopeful-leaning headlines are beginning to turn grim once again, as the EU and the UK continue to stare each other down as the clock slowly runs out of time before Brexit. Monday saw headlines cautioning that both European Union leaders in Brussels and UK Prime Minister Theresa May are making a play for position, with both parties alleging that no further movement can be seen unless the opposite party makes the first move, and market participants could be primed for a rapid flight into safety if regular Brexit updates begin taking a step towards the angsty side. Tuesday will also be seeing the UK’s latest month-on-month GDP figures for August at 08:30 GMT, and the major figure is forecast to tick down slightly from 0.3% to 0.2%, and a missed reading here could be just what GBP bears are waiting for to begin another round of selling, while the US session will have the US PPI figures at 12:30 GMT, forecast moving slightly from 2.3% to 2.4%, though the big US reading for the week will be Thursday’s core inflation figures. GBP/USD levels to watch According to FXStreet’s own Valeria Bednarik, the Irish border issue surrounding current Brexit tensions will remain the key driver looking forward in the near-term: “technically, the pair is still confined to familiar levels, with the upside limited by the 1.3170 area, which stands for the 50% retracement of the 2016/18 rally, but above the 61.8% retracement of the same bullish run at 1.2880. There are no clear signs on directional strength in the 4 hours chart, as the price holds ever since the day started above the 20 SMA and the 200 EMA, both now converging around 1.3040, while technical indicators retreated sharply from overbought readings, the Momentum maintaining its downward strength but above its mid-line and the RSI recovering within positive ground limiting chances of a steeper decline. Seems unlikely that the pair can make a relevant breakout without headlines on whether or not, the EU and the UK reach an agreement on the Irish border issue.” Support levels: 1.3040 1.3000 1.2970 Resistance levels: 1.3100 1.3130 1.3175 FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next NZ: Larger surplus – Westpac FX Street 4 years The Sterling is looking upward, but significant headwinds remain in the way. Tuesday brings another iteration of the UK's GDP reading as Brexit concerns begin mounting once more. The GBP/USD is trading just shy of 1.31 as markets round the corner into Tuesday's UK market session which sees a healthy dose of UK economic data as well as expectations of further Brexit headlines. The Sterling is struggling to keep a bullish recovery on the rails from last week's turnaround at 1.3030, and GBP buyers will be hoping to keep the Cable upright with US markets due to return to the… 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.