GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP declined 0.49% against the USD and closed at 1.3078 on Friday, amid weak economic data.
In economic news, UK’s construction PMI unexpectedly declined to a level of 44.4 in December, amid ongoing political uncertainties and defying market consensus for a rise to a level of 45.7. In the prior month, the PMI had recorded a level of 45.3. Further, the nation’s net consumer credit advanced £0.56 billion in November, rising at its weakest pace since 2014 and less than market expectations for a rise of £1.0 billion. In the prior month, net consumer credit had recorded a revised increase of £1.3 billion. Meanwhile, Britain’s mortgage approvals for house purchases surprisingly rose to a level of 64.9K in November, cofounding market anticipations for a drop to a level of 64.5K. In the previous month, number of mortgage approvals had recorded a revised reading of 64.7K.
In the Asian session, at GMT0400, the pair is trading at 1.3082, with the GBP trading slightly higher against the USD from Friday’s close.
The pair is expected to find support at 1.3045, and a fall through could take it to the next support level of 1.3007. The pair is expected to find its first resistance at 1.3129, and a rise through could take it to the next resistance level of 1.3175.
Trading trend in the Sterling today, is expected to be determined by UK’s Markit services PMI for December, 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.
