GBPUSD on Wednesday dropped -0.33% to 1.28252. 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 Wednesday
Period	Pct	Chg	Momentum
Wednesday	-0.33%	-42 Pips
Week to-date	0.59%	74.8 Pips
August	-0.22%	-27.9 Pips

Upcoming key events (London Time)

  Thu 07:00 AM GBP GDP (3-mth)
  Thu 01:30 PM USD Monthly Retail Trade (1-mth)
  Fri 07:00 AM GBP Retail Sales Volumes (1-mth)

What happened lately

  U.S. CPI Inflation Rate (1-mth) increased to 0.2% in July from -0.1% in June. Source: Bureau of Labor Statistics
 The U.S. CPI Inflation Rate excluding Food and Energy sectors increased to 0.2% in July from 0.1% in June. Source: Bureau of Labor Statistics
  U.S. CPI Inflation Rate excluding Food and Energy sectors (12-mth) in July dropped to 3.2%, down from 3.3% in June. Source: Bureau of Labor Statistics
  The U.S. CPI inflation rate for July dropped to 2.9% from the previous figure of 3% in June. Source: Bureau of Labor Statistics
  U.K. CPI Inflation Rate (12-mth) rose to 2.2% in July compared to 2% in June. Source: Office for National Statistics
  U.K. Core CPI Inflation Rate (12-mth) in July dropped to 3.3%, down from 3.5% in June. Source: Office for National Statistics
  The U.K. Retail Price Index (1-mth) in July dropped to 0.1% from 0.2% in June. Source: Office for National Statistics
  The U.K. PPI Core Output (12-month, non-seasonally adjusted) in July dropped to 1% compared to the previous figure of 1.1% in June. Source: Office for National Statistics
  U.K. Retail Price Index (12-mth) in July rose to 3.6% compared to 2.9% in June. Source: Office for National Statistics
  In July, the U.K. CPI Inflation Rate (1-mth) decreased to -0.2% from 0.1% in June. Source: Office for National Statistics
  In July, the Producer Price Index – Output (12-mth) with no seasonal adjustment dropped to 0.8%, down from the previous figure of 1% (revised from 1.4%). Source: Office for National Statistics
  In July, the U.S. Producer Price Index excluding Food & Energy dropped to 0% compared to the revised June figure of 0.3%, previously reported as 0.4%. Source: Bureau of Labor Statistics
  The U.S. Producer Price Index (12-month) for July dropped to 2.2%, down from the revised June figure of 2.7%, which was initially reported as 2.6%. Source: Bureau of Labor Statistics
 The U.S. PPI excluding Food and Energy sectors (12-month) in July dropped to 2.4% compared to the previous figure of 3% in June.
  In July, the U.S. Producer Price Index (1-mth) dropped to 0.1% from 0.2% in June. Source: Bureau of Labor Statistics
  U.K. Labour Force Survey Employment Change in June rose to 24K compared to 19K in May. Source: Office for National Statistics
  U.K. Claimant Count Rate in July rose to 4.7% from 4.4% in June. Source: Office for National Statistics
  In June, the U.K. Average Earnings excluding Bonus (3-mth) decreased to 5.4% from 5.7% in May. Source: Office for National Statistics
  The U.K. ILO Unemployment Rate (3-mth) in June dropped to 4.2%, down from 4.4% in May. Source: Office for National Statistics
  U.K. Claimant Count Change in July rose to 135K from 32.3K in June. Source: Office for National Statistics
  U.K. Average Earnings including Bonus (3-mth) in June dropped to 4.5%, down from 5.7% in May. Source: Office for National Statistics

What can we expect from GBPUSD today?

GBPUSD on Wednesday dropped -0.33% to 1.28252. Price is above 9-Day EMA while Stochastic is rising.

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

Looking ahead for the day, immediate support level is at S1 1.28041 with break below could see further selling pressure towards S2 at 1.2783. To the upside, with the current momentum bearish, we prefer to look at breakout of the recent daily high of 1.28681 as a potential indicator of buying interest. Failure to break the resistance level would continue to echo bearish sentiment. A close below 1.28150 would indicate selling pressure.

For the week to-date, take note that GBPUSD is bullish as the pair continued to trade higher and is up by 0.59% over the past few days.

Key levels to watch out: