The GBP/USD pair is correcting around 1.1407.
The pound is trading neutral amid the absence of important macroeconomic publications in the UK this week, and the market is increasingly paying attention to more global issues. Thus, The Daily Telegraph reported that the authorities of the United Kingdom and the United States are at the final stage of agreeing on a contract for the supply of a large volume of liquefied natural gas (up to 10.0B cubic meters) in 2023, and the Prime Minister is expected to countries Rishi Sunak will announce in the coming days. Also, the possibility of gas transportation from Qatar and Norway is being considered to ensure energy security and replace Russian fuel that has fallen under sanctions. In 2021, the UK imported 3.12B cubic meters of gas from Russia (4% of all volumes), but this figure was reduced by 75% YoY in June.
Today in the US will be published data on consumer prices: analysts suggest that the figure will drop from 8.2% to 8.0% and the base value – from 6.6% to 6.5%. Initial Jobless Claims may adjust to 220.0K from 217.0K earlier. After raising the US Fed rate to 4.00%, the regulator gave the first hint that further monetary tightening may slow down if inflation and labor market indicators contribute to this, so it is to these data that the main attention of investors is riveted.
The daily chart keeps the trading instrument within the long-term downward channel, trading near the resistance line.
Technical indicators weaken the buy signal: the range of the EMA fluctuation on the Alligator indicator narrows but is still directed upwards, and the AO oscillator histogram forms downward bars in the buying zone.
Resistance levels: 1.1540, 1.1980. | Support levels: 1.1150, 1.0690.