GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose 0.51% against the USD and closed at 1.5747, after the CBI reported that UK factory orders rose to a six-month high in February.
On the economic front, the Confederation of British Industry (CBI) in its latest industrial trends survey indicated that total order book balance in the UK advanced to -3.0 in February, following a reading of -16.0 registered in January. Additionally, the British Bankers’ Association (BBA) reported that mortgage approvals for house purchase in the UK climbed to 38,092 in January, marking a two-year high.
The Bank of England (BoE) policymaker, Paul Fisher, stated that the outlook for the UK economy is still extremely uncertain and urged for further quantitative easing.
Separately, the BoE policy maker, David Miles stated that monetary policy in the UK needs to be very expansionary to support demand and shore up the UK’s ‘precarious’ economy.
In the Asian session, at GMT0400, the pair is trading at 1.5741, with the GBP trading 0.04% lower from yesterday’s close.
The pair is expected to find support at 1.5687, and a fall through could take it to the next support level of 1.5634. The pair is expected to find its first resistance at 1.5774, and a rise through could take it to the next resistance level of 1.5807.
Economic releases taking center stage today in the UK includes GDP and Index of Services.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
