GBP/USD recovering ground, flirting with 1.4000

• GBP bounces off lows near 1.3950.
• Recent PMI results and USD-buying weighed on Cable.
• Brexit concerns remain unchanged.

The Sterling is advancing moderately on Tuesday and is now helping GBP/USD to move closer to the psychological hurdle at 1.4000 the figure.

GBP/USD attention to Brexit

Cable came under persistent downside pressure as of late following a renewed buying interest around the greenback, while results in the UK docket came in below initial estimates.

In addition, Brexit woes and uncertainty around PM May’s government continue to hover over the British Pound and keep pouring cold water over occasional bullish attempts. This time, the debate is gyrating around the likeliness that the UK could stick (or not) to the customs union once it has left the European Union.

Nothing scheduled today in the UK calendar, whereas trade balance figures, JOLTs job openings and the speech by St.Louis Fed J.Bullard (neutral, 2019 voter) are all due later in the NA session.

GBP/USD levels to consider

As of writing, the pair is gaining 0.21% at 1.3988 facing the next hurdle at 1.4129 (10-day sma) followed by 1.4280 (high Feb.2) and finally 1.4345 (2018 high Jan.25). On the downside, a breach of 1.3938 (low Feb.6) would aim for 1.3620 (55-day sma) and then 1.3457 (low Jan.11).