GBP/USD reverts the pullback, 1.5600 looms

FXstreet.com (Edinburgh) -The sterling is back on track to recover the ground lost after the US jobs report surprised investors, lifting the GBP/USD to the upper end of today’s range around 1.5580.

GBP/USD keeps the upside bias

The area around 1.5520 managed well to hold the retracement, where renewed buying interest showed up an sparked the current rebound. Earlier on, UK retail sales above estimates boosted the GBP, propelling the pair to the boundaries of 1.5600 the figure, although losing momentum afterwards. “GBPUSD has decisively broken above trend resistance and its 200-day moving average (which both come in at 1.5525/30)… in the case that we get daily closes beyond these thresholds, that would be a decent sign of more GBP strength in the coming days”, argued G.Moore and S.Osborne, FX Strategists at TD Securities.

GBP/USD key levels

As of writing the pair is gaining 0.46% at 1.5571 and a breakout of 1.5597 (50% of 1.6380-1.4814) would aim for 1.5678 (high Jun.19) and then 1.5723 (high Jun.18). On the other hand, support levels align at 1.5504 (low Aug.15) ahead of 1.5446 (MA10d) and finally 1.5423 (low Aug.14).