GBP/USD off highs, back to 1.3460 ahead of Carney

After climbing to the 1.3500 neighbourhood, GBP/USD has now retraced to the mid-1.3400s.

GBP/USD propped up by risk appetite

The pair keeps the upside momentum intact during this week, strongly bouncing off 3-decade lows in the 1.3120 area following the ‘Brexit’ vote last week.

Data wise, UK’s GDP figures have matched prior estimates for the first quarter, up 0.4% QoQ and 2.0% on an annualized measure. Across the pond, the usual weekly report on the labour market is due ahead of the speech by FOMC’s J.Bullard.

Today’s speech by Governor M.Carney will be key for GBP, with ‘Brexit’ taking centre stage as market participants will closely follow the probable steps of the ‘Old Lady’ following the recent events.

GBP/USD levels to consider

As of writing the pair is gaining 0.11% at 1.3445 and a break above 1.3533 (high Jun.29) would open the door to 1.3833 (previous 2016 low Feb.29) and finally 1.4004 (low Apr.6). On the other hand, the next support aligns at 1.3224 (post-Brexit low Jun.24) followed by 1.3126 (20176 low Jun.27).