GBP/USD stays comatose above 1.31 handle

GBP/USD is trading flat above 1.31 handle in Asia as the broad based dollar selling seen in the NY session ran out of steam.

Hovers around 1.3140

At the time of writing, the spot was trading around 1.3140 levels. the currency pair dipped to a low of 1.3034 in the Asian session yesterday on account of a rise in the treasury yields.

However, the USD was eventually offered in the American session, which helped Cable jump above 1.31 levels. UK CBI total trends orders due later today could influence demand for GBP, while US new home sales could influence overall demand for the US dollar.

GBP/USD Technical Levels

A break above 1.3185 (Aug 19 high) would expose 1.3248 (July 28 high), above which the spot could yield 1.3339 (50-DMA). On the lower side,  a breach of support at 1.3109 (5-DMA) would shift risk in favor of a drop to 1.3035 (10-DMA)- 1.30 levels.