GBP/USD challenging daily lows near 1.2830

The demand for the Sterling appears somewhat depressed on Wednesday, now dragging GBP/USD to test lows in the 1.2830 region.

GBP/USD upside still capped at 1.2900

After reaching fresh YTD tops just above the 1.2900 handle last week, spot retraced part of the up move and has been attempting to consolidate within a 1.2750/1.2870 range since then.

No relevant news from the Brexit front left the bulk of the price action to be determined by USD-dynamics and the broader risk appetite trends, particularly after the results from the first round at the French elections on Sunday.

Looking ahead, UK’s advanced GDP figures for the first quarter are due tomorrow, while the DoE’s weekly report on crude oil supplies is due later today in the US docket.

GBP/USD levels to consider

As of writing the pair is losing 0.07% at 1.2832 and a breakout of 1.2871 (high Apr.24) would open the door to 1.2909 (high Apr.18) and then 1.3000 (psychological handle). On the other hand, the immediate support aligns at 1.2758 (low Apr.21) followed by 1.2613 (200-day sma) and finally 1.2601 (20-day sma).