GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose 0.20% against the USD and closed at 1.5138, following the release of UK construction PMI data. Britain’s construction purchasing managers’ index (PMI) rose to a seasonally adjusted reading of 47.2 in March, from a reading of 46.8 in the previous month.
The greenback came under pressure amid weak US service-sector and jobs reports data. Additionally in the US, the President of the St. Louis Fed, James Bullard, stated that low inflation outlook has helped the central bank to continue with its aggressive easing program and that the Fed is in no hurry to taper its asset purchases until the economy registers substantial momentum.
In the Asian session, at GMT0300, the pair is trading at 1.5133, with the GBP trading marginally lower from yesterday’s close.
The pair is expected to find support at 1.5086, and a fall through could take it to the next support level of 1.5040. The pair is expected to find its first resistance at 1.5169, and a rise through could take it to the next resistance level of 1.5206.
Sterling’s immediate fortunes would be determined by the outcome of a closely watched interest rate decision by the Bank of England (BoE) at 1100 GMT today.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
