GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP rose 0.30% against the USD and closed at 1.4871.
However, gains in Pound were kept in check, after UK’s GDP growth was revised downwards to 0.4% on a quarterly basis in 3Q 2015, lower than market expectations of a 0.5% rise and compared to an advance of 0.7% in the previous quarter, highlighting that the nation’s economy has lost some steam. The soft GDP data will also lift some pressure on the BoE to raise interest rates in the near future.
In other economic news, Britain’s current account deficit marginally narrowed to £17.46 billion in third quarter, from a revised level of £17.49 billion recorded in the prior quarter. Markets were expecting the country’s current account deficit to expand to £21.50 billion.
In the Asian session, at GMT0400, the pair is trading at 1.4878, with the GBP trading marginally higher from yesterday’s close.
The pair is expected to find support at 1.4836, and a fall through could take it to the next support level of 1.4793. The pair is expected to find its first resistance at 1.4911, and a rise through could take it to the next resistance level of 1.4944.
Moving ahead, traders will concentrate on Britain’s BBA mortgage approvals data, scheduled in a few hours.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
