GBP/USD hovering around 1.33 handle after UK releases

Following the release of UK economic data, the GBP/USD pair managed to bounce off session low and is currently hovering around 1.3300 region.

According to the data released just a short-while ago, UK goods trade deficit narrowed to 11.76 billion in July from previous month's 12.92 billion. The reading, however, was a bit higher than expected 11.6 billion deficit. Meanwhile, the pair gained some traction after the quarterly release of Consumer Inflation Expectations showed that consumers expect the price of goods and services to rise by 2.2% during the next 12 months. 

Moments before the releases, the pair dipped below 1.3300 handle but recovered quickly, albeit the recovery lacked momentum and the pair remained stuck below 50-day SMA. 

Technical levels to watch

On a sustained weakness below 1.3300 handle, and a subsequent drop below 50-SMA (4-hourly) support near 1.3285-80, the pair seems to immediately drop to 1.3250 before extending its downslide further towards testing a short-term ascending trend-channel support near 1.3200 round figure mark. 

Meanwhile on the upside, momentum back above 50-day SMA resistance near 1.3315 now seems to confront strong resistance near 1.3360-70 horizontal zone and only a sustained strength above this important resistance would assist the pair to reclaim 1.3400 handle and head towards testing the ascending trend-channel resistance near 1.3450-60 region.