Currently, the GBP/USD pair is trading around 1.2763, up 0.10% from the previous session.
The British pound gained against the US dollar after the release of upbeat economic data from the UK. Specifically, the UK GDP grew by 0.2% in August, in line with market expectations. However, the US producer price index (PPI) in September rose more than expected, putting pressure on the pound.
Technically, the GBP/USD has moved above the 25-period moving average and the Ichimoku cloud, indicating a short-term bullish trend. However, indicators such as the RSI and MACD have formed bearish divergence patterns, warning of a possible correction in the near future