GBP/USD testing highs near 1.3140

The sterling is posting moderate gains vs. the greenback at the beginning of the week, sending GBP/USD to the upper bound of the range near 1.3140.

GBP/USD attention to data, FOMC

The pair is looking to recover part of the ground lost on Friday’s pullback, shedding more than two cents since tops near the 1.3300 handle. The poor print from UK’s Services PMI for the month of June was the driver behind the recent sell off along with a persistent bid tone surrounding the buck.

Ahead in the day, CBI’s Industrial Trends Orders are due in the UK, although Q2’s GDP figures and the FOMC meeting on Wednesday will be the most salient points this week.

GBP/USD levels to consider

As of writing the pair is advancing 0.18% at 1.3133 and a break above 1.3321 (23.6% Fibo of 1.5020-1.2796) would expose 1.3481 (high Jul.15) and finally 1.3535 (high Jun.29). On the other hand, the next support lines up at 1.3061 (low Jul.20) followed by 1.2849 (low Jul.11) and then 1.2797 (20916 low Jul.6).