GBPUSD Movement
On Friday, GBP rose 0.31% against the USD and closed at 1.6085, after the UK’s GDP grew 0.7% on a quarterly basis in 3Q 2014, in line with market estimates. The nation’s economy had risen 0.9% in the prior quarter.
In other economic data, the index of services in the UK remained steady at 0.2% on a monthly basis in August, compared to market expectations for a gain of 0.3%.
In the Asian session, at GMT0400, the pair is trading at 1.6109, with the GBP trading 0.15% higher from Friday’s close.
Over the weekend, the BoE’s MPC member, Ian McCafferty expressed his views that the central bank needs to raise its benchmark interest rates soon and the hike should be limited and gradual, despite inflation in the UK is still below the 2% target of the BoE.
The pair is expected to find support at 1.6047, and a fall through could take it to the next support level of 1.5986. The pair is expected to find its first resistance at 1.6140, and a rise through could take it to the next resistance level of 1.6172.
Trading trends in the Pound today are expected to be determined by the CBI’s reported sales data, scheduled in a few hours from now.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
