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GBP/USD lies within a bullish trend. Hourly resistance is given at 1.3159 (27/07/2017 high). Hourly support is given at 1.2933 (20/07/2017 low). Expected to show continued bullish pressures.

The long-term technical pattern is even more negative since the Brexit vote has paved the way for further decline. Long-term support given at 1.0520 (01/03/85) represents a decent target. Long-term resistance is given at 1.5018 (24/06/2015) and would indicate a long-term reversal in the negative trend. Yet, it is very unlikely at the moment.

EUR/USD bullish pressures continue. Hourly resistance is given at 1.1777 (25/07/2017 high). Hourly support can be found at 1.1480 (20/07/2017 high). Stronger support lies at 1.1292 (28/06/2017 low). Expected to show continued bullish pressures.

In the longer term, the momentum is now turning largely positive. We favour a continued bullish bias. Key resistance is now holding at 1.1871 (24/08/2015 high)t while strong support lies at 1.0341 (03/01/2017 low).

Strong indecision, signaled by Thursday's long-legged Doji candle extends on Friday. Yen received modest support from Japan's data overnight but gains were limited, with near-term price action hovering around daily cloud top (111.23), near which Thursday's trading opened and closed.

Recovery action on Thursday, following Wednesday's sharp fall, was capped by descending daily Tenkan-sen, which currently marks strong resistance at 111.65, reinforced by the base of falling 4-hr cloud.

Near-term outlook is expected to remain biased lower while the latter caps and guards key barrier at 112.10 (Fibo 38.2% of 114.49/110.62 downleg / 200SMA), break of which will be bullish.

Weekly low at 110.62 and daily cloud base at 110.38 mark key supports, break of which is needed to spark fresh downside action, on eventual close below cracked 110.97 support (Fibo 61.8% of 108.80/114.49 rally).

US GDP data are expected to provide more clues about near-term direction.

Res: 111.23; 111.32; 111.65; 112.10
Sup: 110.87; 110.77; 110.62; 110.38

As Asian traders were about to close the trading week, the dollar was pressured again, with the dollar index falling a tenth-of-a-percent to 93.76. The euro gained as a string of data came in as expected, leaving no room for disappointment.

Economic data out of Japan signaled a sustainable growth in the second quarter, underpinning the Bank of Japan's buoyant economic view. Japan's economy expanded 1.0% annually in the first quarter, showing positive growth for more than a year. Analysts remain optimistic about GDP expansion in the quarter to June-end amid a pick-up in private consumption, which comprises 60% of the economy. Household spending rose 2.3%, up for the first time since February 2016 and posting the highest gain since August 2015. The unemployment rate fell to 2.8% in June, confirming a tightening labor market. However, inflation remained far from the central bank's target of 2.0%. The core consumer price index mirrored a 0.4% gain in May and matched analysts' expectations for June. Looking at the forex market reaction, the yen reacted positively to the string of upbeat data, rising against the greenback. Dollar/yen opened at 111.22, but fell to 111.04 ahead of European trading.

As European traders were looking to start the day, France and Spain released their flash consumer prices for July and second-quarter GDP growth numbers, supporting the euro's gains. Most figures came in as expected, bar monthly consumer spending in France, which fell 0.9% versus expectations of a 0.2% decline. Also, Spanish HICP came above forecasts, growing 1.7% in July. Preliminary second quarter GDP in France grew 0.5%, relative to the prior quarter, while the Spanish economy expanded at a pace of 0.9%, as expected. Later in the session, July economic sentiment for the eurozone and German preliminary CPI will be released. Euro/dollar was last up to trade above the 1.17 handle at 1.1704.

The rest of the day looks busy in terms of economic data releases as well. Dollar traders will be analyzing a string of data out of the US. The Commerce Department is due to release its advance second-quarter GDP estimate today. Consensus suggests that the US economy grew at an annual rate of 2.6% in April-June quarter, outperforming the 1.4% expansion from the first quarter. Following yesterday's trade deficit and wholesale inventories data, some analysts revised their growth expectations, suggesting a gain of 3.5%. The Commerce Department will also report advanced core PCE prices for the second quarter, which are forecast to rise 0.8%, below a 2.0% gain achieved in the first quarter. The final reading of the University of Michigan Surveys of Consumers Sentiment Index for July is expected to remain unchanged at 93.1 from the previous month.

On the political front, President Trump's actions regarding Senate's newly approved sanctions against Russia will be closely monitored.

Statistics Canada will report the monthly expansion of the Canadian economy in May. Analysts are estimating a gain of 0.2%, which would support expectations of the economy maintaining its strong growth momentum this year. Dollar/loonie was last trading at 1.2544.

Oil prices edged lower but were still near eight-week highs, buoyed by a decline in US inventories and OPEC's ongoing efforts to curb production. WTI was last trading at $49.00 a barrel while Brent was at $51.47 a barrel.

Gold prices were broadly flat during the Asian session after some pressure at the end of the US session yesterday. The precious metal was last trading at $1,259.44 an ounce.

GBPUSD hit its highest level since September 2016 yesterday, touching 1.3158. The pair is expected to maintain its short-term bullish bias as long as it holds above the key psychological level of 1.3000.

Any retracements will find this 1.3000 level as an immediate support but a fall below the July 12 low of 1.2853 would increase the prospects of continued downside to target the June 21 low of 1.2588. At this point the bias will shift to bearish and would suggest a top has been established at the 1.3158 high.

On the other hand, a bounce higher from current levels to clear 1.3158 would bring about a resumption of the recent uptrend with scope to target the next major high from last year in the 1.3400 handle.

The technical picture remains bullish for the short-term as the 50-day moving average crossed above the 200-day MA and momentum indicators such as RSI and MACD are both in bullish territory.

Cable is consolidating under 1.3100 barrier on Friday, following sharp pullback from fresh high at 1.3158 on Thursday. One-hundred pips fall was contained above daily Tenkan-sen, now in sideways mode at 1.3045, which still acts as solid support.

Limited recovery warns that the pair may extend pullback for attack at psychological 1.3000 support (also low of 26 July) and 20SMA (1.2983) which both mark pivotal supports and break here would trigger stronger weakness. Thursday's large bearish daily candle with long upper shadow weighs on near-term action, with increased downside risk seen while the price remains below 1.3100 barrier.

The pair is waiting for US GDP data for fresh signals. Strong than expected Q2 reading (according to 2.6% forecast vs Q1 1.4%) could send pound into fresh bearish acceleration below 1.3000/1.2983 pivots.

Res: 1.3100, 1.3125, 1.3157, 1.3200
Sup: 1.3060, 1.3045, 1.3000, 1.2983

The consolidation of the gains of the yellow metal was short lived, as the combined support of the 55 and 100-hour SMAs managed to stop the fall and immediately reverse it on Thursday. Since then the commodity price has been constantly finding support in the monthly pivot point, which is located at the 1,258.37 mark. Most likely during Friday's trading session the bullion will make attempts to break through the resistance of the weekly R1. The first weekly resistance level is located at the 1,264.80 mark. The impulse for the surge could be and likely will be provided by the support of the 55 and 100-hour simple moving averages, which on Friday morning were located, respectively, at 1,256.19 and 1,255.27.

On Thursday, the US Dollar was driven by bulls that pushed the given currency through the 100– and 55-hour SMAs and the monthly PP. Nevertheless, a resistance cluster formed by the weekly PP and the 200-hour SMA proved to be a solid upper limit that reversed the rate down to a relatively similar level as on Thursday morning. The failure to reach the upper boundary of the symmetrical triangle indicates that this pattern may not be strong enough any longer to confine the pair in its bounds. Thus, it is quite likely that the current momentum downwards is to persist until the weekly S1 at 110.48, possibly. Meanwhile, the upper limit could be the 100-hour SMA and the monthly PP or in case of solid upside risks resulting from US fundamentals —even the aforementioned 200-hour SMA circa 111.70

After being located near the upper wedge boundary on Thursday morning, GBP/USD was pressured lower and consequently pushed through the weekly R1 and the 55-hour SMA down to the 1.3060/85 area. The up-trend, however, was not reached, thus leaving the rate above the 100-hour SMA. The increasing steepness of the up-trend suggests that the Pound has been affected by solid upside risks that may result in an breakout of the wedge, especially if this trend-line is not breached in the upcoming trading sessions. The effect of US Advance GDP is yet to be seen; however, the rate is generally expected to remain above the 200-hour SMA which may be set as the bottom limit for today. From upside, however, weak US data may push the rate as high as the monthly R1 at 1.3177.

On Friday morning the common European currency was regaining the losses suffered against the US Dollar. However, the losses were suffered during a period of consolidation, which began in the aftermath of the pair's jump on the publication of the FOMC Meeting minutes. During Friday's trading session the currency pair was set to struggle with the resistance, which is put up by the 2015 high level at the 1.1709 mark. However, as the historical high level has been passed during previous trading sessions, it is unlikely going to hold. Instead, market participants should look at the weekly R1, which is located at the 1.1753 mark. Most likely the 55 and 100- hour SMAs, which were located below the pair during the early hours of the day's trading, will push the pair higher.