GBP/USD falls back towards the figure level
The upside overnight saw the highs stalled by the 28 June support-turned-resistance level near 1.3350 with the 23.6 retracement level @ 1.3031 providing additional resistance in deterring further upside moves today. Cable is now tracking lower as a result and is moving back towards a test of the 1.3000 handle.
There are bids still sitting at the figure level defending a drop further for now but it's the second time of asking today so we'll have to see if there's any exhaustion by buyers defending at the level.
There isn't much catalyst to the moves on the day (and data isn't going to help with sterling pairs today either), a lot of it has been from dollar losing ground only to gain it back as the session moves along.
The dollar index is slowly making its way back above the crucial 95.15 level so let's see if dollar bulls can find some confidence in keeping it above that as the session goes along.
As for cable, below 1.3000 there is further support from overnight lows @ 1.2958 with further support next seen around 1.2930 before the 1.2900 handle comes in. As for upside levels, buyers need to find a way to take out resistance at 1.3031 and 1.3350 before moving towards the possibility of re-establishing a more bullish near-term bias.
