UK Retail Sales

GBP/USD advanced to its highest level since May, extending a recovery that began after the pair bottomed in June. Traders are weighing a bullish chart structure against a busy run of UK and US macroeconomic data that could fuel near-term volatility.

GBP/USD has retreated sharply from this month’s high as traders position for key US macro data and upcoming central bank decisions. Technical signals remain tilted to the downside, with chart watchers focusing on 1.3150 as a potential support target if selling pressure persists.

The U.S. dollar lost ground as a sharp pullback in oil reduced demand for safe-haven positioning. EUR/USD and GBP/USD advanced on stronger economic data, while USD/JPY pressed against a major resistance zone last seen in the mid-1980s.