GBPUSD on Thursday dropped -0.17% to 1.26946. What we know.

Dear ,

As requested, let’s look at GBPUSD and the recent events that happened in the previous trading session.

GBPUSD Analysis

Performance after Thursday
Period	Pct	Chg	Momentum
Thursday	-0.17%	-22.2 Pips
Week to-date	-0.04%	-5.4 Pips
May	1.61%	201.3 Pips

Upcoming key events (London Time)

  Fri 07:00 AM GBP Retail Sales Volumes (1-mth)

What happened lately

 🇺🇸 U.S. New-Home Sales Change (1-mth) in April dropped to -4.7% compared to previous figure 5.4, revised from 8.8% in March
 🇺🇸 In the week ending 18 May, U.S. Initial Unemployment Insurance Claims dropped to 215K compared to previous figure 223K (revised from 222K) Source: Department of Labor
 🇬🇧 U.K. Retail Price Index (12-mth) in April dropped to 3.3% compared to previous figure 4.3% in March Source: Office for National Statistics
 🇬🇧 U.K. CPI Inflation Rate (CPIH) (1-mth) in April dropped to 0.3% compared to previous figure 0.6% in March Source: Office for National Statistics
 🇬🇧 U.K. Producer Price Index – Output (12-mth) n.seasonal adjustment in April rose to 1.1% compared to previous figure 0.7, revised from 0.6% in March

What can we expect from GBPUSD today?

GBPUSD on Thursday dropped -0.17% to 1.26946. Price is above 9-Day EMA while Stochastic is falling.

Updated daily direction for GBPUSD looks bearish as the pair posted lower in Thursday trading session.

Looking ahead for the day, immediate support level is at S1 1.26709 with break below could see further selling pressure towards S2 at 1.26471. To the upside, with the current momentum bearish, we prefer to look at breakout of the recent daily high of 1.27466 as a potential indicator of buying interest. Failure to break the resistance level would continue to echo bearish sentiment. A close below 1.26850 would indicate selling pressure.

For the week to-date, take note that GBPUSD is mixed as compared to the prior week.

Key levels to watch out: