GBP/USD: British Pound reverses its losses in the morning session


GBPUSD Movement

For the 24 hours to 23:00 GMT, the GBP declined 0.15% against the USD and closed at 1.2610, amid ongoing Brexit uncertainties.

In the Asian session, at GMT0300, the pair is trading at 1.2612, with the GBP trading slightly higher against the USD from yesterday’s close.

Overnight data indicated that UK’s GfK consumer confidence climbed to an 8-month high level of -10.0 in May, compared to a reading of -13.0 in the previous month. Market participants had envisaged the index to register a rise to a level of -12.0. Meanwhile, the nation’s Lloyds business barometer eased to 10.0% in May, declining for the first time in three months and compared to 14.0% in the prior month.

The pair is expected to find support at 1.2582, and a fall through could take it to the next support level of 1.2552. The pair is expected to find its first resistance at 1.2641, and a rise through could take it to the next resistance level of 1.2670.

Looking ahead, investors would keep an eye on UK’s Nationwide house price index for May, net consumer credit and mortgage approvals for April, scheduled to release in a few hours.

The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.

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