GBP/USD hovers near 1-week lows

GBP/USD extended losses into a third consecutive day on Monday, dragged down by dollar strength, which was boosted by signals the Fed might hike rates once again before the year end.

GBP/USD broke below the 1.31 mark and bottomed out at a 1-week low of 1.3058 at the beginning of the American session. It has managed to recover a few pips ever since and it was last trading at 1.3085, 0.37% lower on the day.

GBP/USD technical levels

As for technical levels, immediate supports are seen at 1.3058 (Aug 29 low), 1.3000 (psychological level) and 1.2978 (Aug 17 low). On the flip side, resistances could be found at 1.3138 (Aug 29 high), 1.3245 (50-day SMA) and 1.3277 (Aug 26 high).