GBP/USD resilient to broad based USD strength

The GBP/USD pair failed to sustain at higher levels, and now extends its overnight side-trend into late-Asia, with the bulls showing solid resilience to broad based US dollar rebound after the latest decline.

From a broader perspective, the cable remains in a consolidation phase on 1.24 handle so far this week, as the main focus remains on Wednesday’s House of Commons vote on the Article 50 bill. From Monday’s article 50 committee stage debate, Ministers have comfortably seen off four opposition attempts to amend the article 50 bill. Further votes are due later on Tuesday and on Wednesday. 

GBP/USD Levels to consider            

The upside barriers are lined up at 1.2487 (5-DMA), 1.2500 (zero figure) and 1.2531 (10-DMA). While supports are aligned at 1.2398 (100-DMA) and 1.2350 (key support) and below that at 1.2300 (round number).