GBP/USD testing lows ahead of CPI

The sterling is sharply lower on Tuesday, taking GBP/USD to trade in the area of daily lows around 1.4180.

GBP/USD focus on UK’s CPI

GBP remains under pressure in response to latest poll results confirming the ‘Leave’ option is on the lead as we get closer to the EU-UK Referendum on June 23.

Spot managed to bounce off yesterday’s multi-week lows in the 1.4100 neighborhood, although gains remain limited around the 1.4200 handle so far.

GBP will take centre stage later in the session with the release of UK’s inflation figures. Market expectations see consumer prices in the British economy to have risen at an annualized 0.4% during May

GBP/USD levels to consider

As of writing the pair is retreating 0.60% at 1.4185 and a break below 1.4116 (low Jun.13) would aim for1.4088 (low Apr.14) and then 1.4004 (low Apr.6). On the other hand, the next resistance aligns at 1.4353 (100-day sma) followed by 1.4412 (55-day sma) and finally 1.4463 (20-day sma).