GBP/USD consolidates losses below 1.3200

GBP/USD is taking a breather after falling sharply during the European session on the back of disappointing UK economic data.

GBP/USD lost more than 150 pips since the beginning of the day and bottomed out at 1.3166 during the New York session. At time of writing, the pair is trading at 1.3185, down 1.09% on the day.

UK data showed that consumer prices grew 0.3% in August, recovering from July’s -0.1% reading but below the 0.4% expected, while YoY prices rose 0.6% versus 0.7% of consensus. Looking ahead, BoE will decide on monetary policy on Thursday.

GBP/USD technical levels

As for technical levels, immediate supports are seen at 1.3150 (50-day SMA), 1.3126 (Sep 1 low) and 1.3078 (Aug 30 low). On the other hand, resistances could be found at 1.3346 (Sep 12 high), 1.3374 (Sep 8 high) and 1.3400 (psychological level).