GBP/USD accelerates the upside to 1.2740

The Sterling is following north the rest of the risk-associated assets, now lifting GBP/USD to fresh daily tops near 1.2740.

GBP/USD up on USD-softness

The pick up in the selling pressure around the greenback is helping Cable to retake the 1.2700 handle and above, advancing to 3-day tops, all within a 3-session positive streak. The ongoing rally, however, could run out of legs in ligh of the data from futures markets in the Sterling.

GBP has derived extra support after UK’s PM Theresa May seems to have softened her position on rights of EU citizens living in the UK after Brexit, adding to the earlier gains following hawkish comments by BoE's A.Haldane.

However, the political effervescence is everything but alleviated in the UK, while Tories still need to clinch a deal with the DUP in order to form a minority government and T.May should deal with the ascent of Labour Chief J.Corbyn.

GBP/USD levels to consider

As of writing the pair is up 0.41% at 1.2734 facing the next resistance at 1.2758 (high Jun.20) followed by 1.2799 (20-day sma) and finally 1.2822 (55-day sma). On the flip side, a breakdown of 1.2636 (100-day sma) would open the door to 1.2587 (low Jun.21) and then 1.2551 (200-day sma).