- GBP/USD is trading directionless around 1.3800
- Brexit concerns offset the US dollar's weakness amid mixed markets.
GBP/USD is under pressure trading below 1.3800 despite a broadly softer US dollar. Mixed UK economic data, Delta covid variant fears and Fed's tapering expectations weigh on the higher-yielding currency, the pound. The focus is on US Consumer Sentiment.
Given the quote's downswing from 50-DMA, backed by the easing RSI line, not oversold, the GBP/USD prices are likely to remain under pressure. That said, the 200-DMA level of 1.3777 acts as the key immediate support to watch ahead of early July's low surrounding 1.3730. However, two horizontal regions connecting lows from late March and early February around 1.3670-65 and 1.3570 respectively will be tough nuts to crack for the pair sellers after 1.3730.
