GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose 0.46% against the USD and closed at 1.6284, after a government report confirmed that the UK’s gross domestic product (GDP) rose 1.5% (YoY) in the third quarter, in line with market estimates and compared to a 1.3% (YoY) rise witnessed in the preceding quarter. Similarly, on a quarterly basis, GDP rose at par with analysts’ expectations, following a 0.7% (QoQ) increase registered in the earlier quarter. However, the gains were capped, after the Confederation of British Industries (CBI) reported that UK’s reported sales declined to a reading of 1.0 in November, missing analysts’ expectation for a rise to 10.0 from a level of 2.0 recorded in October.
In the Asian session, at GMT0400, the pair is trading at 1.6316, with the GBP trading 0.20% higher from yesterday’s close.
The pair is expected to find support at 1.6236, and a fall through could take it to the next support level of 1.6156. The pair is expected to find its first resistance at 1.6364, and a rise through could take it to the next resistance level of 1.6412.
Traders keenly await the Bank of England (BoE) Governor, Mark Carney’s speech, before the BoE’s Financial Stability Report, scheduled later today, to gauge on the outlook of the British economy.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
