GBP/USD eases-off multi-week highs ahead of PMI, BOE

The GBP/USD pair failed to sustain at higher levels and drifted lower over the last hour, as markets remain wary ahead of key risk events for the GBP – the UK services PMI, High court Brexit ruling and BOE policy decision.

GBP/USD rejected near daily R1 at 1.2370

The cable is seen fading a spike to fresh three-week highs as investors took profits off the table after the recent upsurge heading into the BOE interest rates decision.

Further, a recovery in the US dollar across the board combined with retreat in oil, capped the upside in the GBP/USD pair. The major also moved-off lows on the back of reports that there is an anti-QE protest being held outside the BOE during today's Quarterly Inflation Report QIR (QIR).

All eyes now remain on EU membership court ruling on Brexit, UK services PMI, BOE rates decision and quarterly inflation report hearings for fresh impetus on the spot.

GBP/USD Levels to consider            

At 1.2180, the pair finds immediate resistances placed at 1.2370 (daily R1), 1.2400 (Oct 20 high) and 1.2453 (Oct 10 high). While supports are lined up at 1.2294 (daily pivot) and 1.2266 (5-DMA) and below that at 1.2235/33 (10 & 20-DMA).