The GBP/USD breaks below the 1.3000 level

The GBP/USD keeps its bearish retracement due to weakness on the Pound and a comeback on the US Dollar. The Pound drops after the weak consumer spending data in the United Kingdom, which falls for a third month in a row. Investors and traders have doubts about the UK economy, while in the US the jobs openings reading came out better than expected, supporting the Dollar and the NFP numbers from last Friday. On the daily chart of the GBP/USD we can see that the pair has fallen below the 1.3000 level and reaches the 55 day exponential moving average (purple line) where it is trying to stall momentarily. In case of a bullish bounce, the 1.3100 level or the 1.3200 level could act as resistance, but for now the fundamental data is pointing to a possible bearish continuation. If the pair continues dropping, then the 1.2900 level could act as support, along with the 200 day EMA (blue line) or the 1.2800 level.