GBP/USD off 2017 highs, returns to 1.2900

The British Pound is posting moderate gains vs. the greenback on Thursday, with GBP/USD receding from YTD highs and currently hovering over the 1.2900 handle.

GBP/USD gains capped at 1.2915

After climbing as high as 2017 highs near 1.2920, the pair has slipped back to the 1.2900 neighbourhood, although it remains well bid despite the demand for the greenback appears steady for the time being.

In addition Cable is deriving extra support from the sharp pullback in EUR/GBP, which continues to navigate the area of weekly highs around 0.8440 ahead of the ECB monetary policy meeting.

Looking ahead, UK’s advanced GDP figures for the January-March period is due tomorrow, with consensus seeing the economy to have expanded 0.4% inter-quarter and 2.2% on a yearly basis.

Across the Atlantic, the buck will take centre stage in light of the release of Durable Goods Orders, Pending Home Sales, Initial Claims and Goods Trade Balance figures.

GBP/USD levels to consider

As of writing the pair is up 0.39% at 1.2899 and a breakout of 1.2915 (2017 high Apr.27) would open the door to 1.3000 (psychological handle). On the other hand, the immediate support aligns at 1.2843 (low Apr.27) followed by 1.2803 (low Apr.26) and finally 1.2758 (low Apr.21).