The lack of top-tier releases over the next few hours might just be enough to keep Cable inside its range.
Do you think this support level would hold?
Before moving on, ICYMI, I’ve listed the potential economic catalysts that you need to watch out for this week. Check them out before you place your first trades today!
And now for the headlines that rocked the markets in the last trading sessions:
Fresh Market Headlines & Economic Data:
- Fed official Kashkari: Many sectors still struggling with reopening
- OPEC+ agreed to boost oil production in August, demand improvements seen
- Russian Deputy PM Novak says they will increase oil output in H2
- Asian shares hit weekly lows on Delta variant jitters
Upcoming Potential Catalysts on the Economic Calendar:
- BOE MPC member Haskel’s testimony at 10:00 am GMT
- U.S. NAHB housing market index at 2:00 pm GMT
What to Watch: GBP/USD
Cable has been moving sideways so far this month, finding support around the 1.3750 minor psychological mark and resistance near 1.3900.
The pair is currently hanging out at the bottom of the range, still deciding whether to make a bounce or a break.
Turning higher would confirm that pound bulls are ready to charge, possibly taking GBP/USD back up to the range resistance.
BOE MPC member Haskel’s testimony could be worth watching, as this could provide some volatility for sterling. He will be talking about how the pandemic affected the U.K. economy, so this speech might have some hints on policy biases.
Other than that, good ol’ market sentiment could determine where this pair might be headed next.A continuation of last week’s risk-off flows could keep traders going for the safe-haven U.S. dollar, especially since many are still holding on to Fed tapering expectations.
Earnings reports lined up this week could also push the Greenback around, so better keep tabs on those, too!