No love for Sterling as retail sales crumble

The Pound will remain an easy target for anxious investors after UK retail sales tumbled by their biggest fall on record in March. Retail sales in the U.K. dropped a staggering 5.1% last month compared to February, reflecting the closures of many stores following the lockdown on March 23. With sales expected to plunge even further in April amid the lockdown and economic data painting a gloomy picture, Sterling could find itself unloved and severely depressed.

GBPUSD remains in a very wide range on the daily timeframe with support 1.2200 and resistance at 1.2500. If prices fail to break above 1.2400, a technical correction towards 1.2200 will be on the cards. Alternatively, an intraday break above 1.2400 could swing open the doors towards 1.2500. 350+ pip range. All eyes will be on the support at 132.00 and resistance at 135.70.

The fundamentals moving the GBPJPY revolve around Brexit uncertainty, slowing global growth and risk aversion among many other themes. A decisive break and daily close below 132.00 should pave a path towards 130.00. Alternatively, a break above 134.00 may inspire a move back towards 135.70 and 137.00. momentum send the currency pair below 0.8680, the next key point of interest will be at 0.8000. Alternatively, a rebound from 0.8680 could inspire a move back to 0.8850. $1735 as the Dollar weakened and stock markets slipped across the globe.

Appetite toward the precious metal should remain stimulated by global growth concerns, oil market mayhem and EU summit disappointment among many other themes grinding on global sentiment. Investors remain guarded and on high alert amid the coronavirus developments, and this should accelerate the flight to safe have destinations like Gold. Looking at the technical picture, a solid break above $1735 may open the doors towards $1750.