GBP/USD probing tops near 1.2390

The Sterling has started the week on a string footing, now pushing GBP/USD to the area of daily highs near 1.2390.

GBP/USD bounces off 1.2370

Spot seems to have found decent support in the vicinity of recent lows in the 1.2370/65 band, managing to advance some ground despite the sentiment around the buck stays firm.

The pair is posting gains for the first time after two consecutive pullbacks, looking to extend the rebound from the area of 2-week lows near 1.2370 amidst  an empty calendar in the UK and with Chief Yellen’s speech expected to drive the mood around the greenback later in the session.

It will get more interesting for GBP later in the week, as inflation figures for the month of March are due tomorrow while the jobs report and the speech by Governor M.Carney are expected on Wednesday.

On the positioning front, GBP speculative net shorts have retreated to the lowest level since early March during the week ended on April 4, according to the latest CFTC report.

GBP/USD levels to consider

As of writing the pair is up 0.17% at 1.2388 facing the next hurdle at 1.2431 (20-day sma) followed by 1.2478 (high Apr.7) and finally 1.2508 (high Apr.6). On the other hand, a breakdown of 1.2361 (low Apr.7) would expose 1.2321 (low Mar.17) and then 1.2302 (61.8% Fibo of the March up move).