GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose marginally against the USD and closed at 1.6090, as investors reacted positively to Bank of England’s (BoE) decision to keep its interest rate unchanged at a record low 0.5% and maintain its bond-buying stimulus package at £375 billion. However, Sterling’s gains against the US Dollar were capped after official data from the US revealed that, on an annualised basis, the nation’s Gross Domestic Product (GDP) advanced a more-than-expected 2.8% in the third quarter, following a 2.5% rise registered in the preceding quarter.
In the Asian session, at GMT0400, the pair is trading at 1.6090, with the GBP trading flat from yesterday’s close.
The pair is expected to find support at 1.6028, and a fall through could take it to the next support level of 1.5966. The pair is expected to find its first resistance at 1.6134, and a rise through could take it to the next resistance level of 1.6178.
Later today, the National Statistics is scheduled to release a trade balance report for the UK, which is widely expected to show that trade deficit in the nation narrowed to a level of £2.70 billion in September, from a deficit of £3.32 billion registered in the previous month.
The currency pair is trading just above its 20 Hr and 50 Hr moving averages.
