GBP/USD halts losses at 76.4% Fib level

FXStreet (Mumbai) - The sell-off in the GBP/USD appears to have stalled at the 76.4% Fib retracement of 1.4633-1.5122 located at 1.4749. The pair did dip to 1.4738, although it managed to recover and trades steady at 1.4755-1.4760 levels.

Pound falls despite uptick in Gilt yields

The British Pound fell despite the uptick in the Gilt yields post the release of an upbeat manufacturing PMI data. The benchmark 10-year Gilt yield in the UK currently trades 3.4 basis points (bps) higher to 1.610%. On the other hand, we see no signs of strength in the US 10-year Treasury yield, despite which the GBP/USD pair fell sharply.

It remains to be seen whether the relative strength in the Gilt yields helps Pound make a comeback against the US dollar.

GBP/USD Technical Levels

The immediate resistance is seen at 1.4820, above which gains could be extended to 1.4878. On the flip side, a break below 1.4749 could drive the pair lower to 1.47 levels.