GBP/USD rises further to 1.5280, will the recovery sustain?

FXStreet (Mumbai) - The bid tone around the GBP/USD pair keeps increasing as we progress towards the European afternoon as markets appear to unwind ahead of BOE Super Thursday scheduled later this week.

GBP/USD on its way to 1.5300

The GBP/USD pair trades 0.61% higher at 1.5262, retracing from fresh session highs reached at 1.5279. The cable keeps its upbeat momentum intact as markets continue to lock-in gains on their GBP shorts after the recent UK data-led slump with the attention shifting towards UK fundamentals to be reported in the week ahead.

The British pound was hammered to fresh four-month lows of 1.5160 versus the US dollar last week following a better US jobs report coupled with a series of weak PMI reports from the UK.

Markets now turn their attention towards the latter half of the week especially the ‘Super Thursday’ as trading is expected to be in a narrow range amid a data-dry EUR calendar empty while the US remains closed for the Labor Day holiday.

GBP/USD Levels to consider

The pair has an immediate resistance at 1.5315 (Sept 3 High) above which gains could be extended to 1.5408 (Sept 1 High) levels. On the flip side, support is seen at 1.5172 (Today’s Low) below which it could extend losses to 1.5160 (Sept 4 Low) levels.

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