GBP/USD rangebound below 1.29 ahead of UK jobs

The Sterling is exchanging gains with losses vs. the greenback on Wednesday, prompting GBP/USD to extend the sideline theme below 1.2900 the figure and ahead of the UK’s job report.

GBP/USD stays near 5-week lows

Cable remains vulnerable for the time being, navigating the area of multi-week lows in sub-1.2900 levels after disappointing July’s UK inflation figures released yesterday.

Adding to the pair’s weakness, the greenback has started the week on a solid footing, quickly leaving behind Friday’s CPI readings and moving higher on better-than-expected retail sales figures during last month.

Looking ahead, UK’s jobs report is next on tap across the Channel, while building permits, housing starts and the more relevant FOMC minutes are all due in the US calendar.

GBP/USD levels to consider

As of writing the pair is losing 0.05% at 1.2864 and a break below 1.2846 (low Aug.15) would open the door to 1.2808 (low Jul.12) and finally 1.2747 (76.4% Fibo of 1.2587-1.3266). On the flip side, the next resistance aligns at 1.2927 (50% Fibo of 1.2587-1.3266) followed by 1.2989 (10-day sma) and finally 1.3007 (38.2% Fibo of 1.2587-1.3266).