GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP rose 0.46% against the USD and closed at 1.4608.
In economic news, UK’s seasonally adjusted Nationwide housing price index advanced less-than-expected by 0.2% MoM in April, its weakest rise since November 2015, following a revised rise of 0.7% in the previous month. Investors had expected it to climb 0.4%.
Separately, the Bank of England (BoE) Governor, Mark Carney, stated that the British economy appears to be losing steam in the short term because of June’s European Union (EU) referendum. He also reiterated that risks surrounding the referendum are the biggest faced by the economy till date and indicated that future interest rate rise would be gradual and modest.
In the Asian session, at GMT0300, the pair is trading at 1.4642, with the GBP trading 0.23% higher from yesterday’s close.
Overnight data showed that Britain’s Gfk consumer confidence index declined to a level of -3.0 in April, its lowest level in more than a year, amid concerns about the EU referendum. Market expectation was for the index to fall to a level of -1.0, after registering a flat reading in the previous month.
The pair is expected to find support at 1.4558, and a fall through could take it to the next support level of 1.4474. The pair is expected to find its first resistance at 1.4691, and a rise through could take it to the next resistance level of 1.4739.
Moving ahead, investors will look forward to UK’s mortgage approvals and net consumer credit data, both for the month of March, scheduled to release in a few hours.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
