GBP/USD trims BOE-led sharp gains, back to 1.3300

The GBP/USD pair ran into fresh offers at higher levels and has now trimmed over 150-pips of its BOE-led bullish spike to 1.3475 region to currently trade around 1.3300 region. 

Bears rushed to cover their bets against the British Pound after BOE decided to leave the current monetary policy stance unchanged, triggering a sharp short-covering rally that boosted the pair to a two-week high level. 

The pair, however, quickly reversed as the accompanying minutes left doors open for monetary easing in August and took the pair back below 1.3300 handle. Moreover, better-than-expected US economic data is also seen restricting further gains for the pair. 

From technical perspective, the pair retraced from an intermediate resistance near 1.3475-80 region and is now consolidating around 1.3300 handle, still holding gains of around 200-pips from session low. A follow through selling pressure below 1.3300 could turn the pair vulnerable to drift lower.

Technical levels to watch

On a sustained weakness below 1.3300-1.3280 immediate support, the pair seems more likely to head back towards 1.3100 handle with 1.3200 round figure mark acting as intermediate support. 

Meanwhile, a fresh leg of up-move back above 1.3370 immediate resistance should lift the pair back towards session peak resistance near 1.3475-80 before the pair makes an attempt to reclaim 1.3500 handle.