GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP declined 0.98% against the USD and closed at 1.3107.
The Bank of England (BoE) Governor, Mark Carney sounded optimistic over the growth of economic activity but expressed concerns that Brexit could disrupt the outlook for August rate hike.
On the data front, UK’s ILO unemployment rate remained steady at a rate of 4.2% in March-May 2018, meeting market expectations. Meanwhile, average weekly earnings including bonus climbed 2.5% on an annual basis in the three months ended May 2018, in line with market expectations. Average earnings including bonus had recorded a revised rise of 2.60% in the February-April 2018 period.
In the Asian session, at GMT0300, the pair is trading at 1.3111, with the GBP trading slightly higher against the USD from yesterday’s close.
The pair is expected to find support at 1.3031, and a fall through could take it to the next support level of 1.2951. The pair is expected to find its first resistance at 1.3230, and a rise through could take it to the next resistance level of 1.3349.
Going forward, investors will await UK’s consumer price index, producer price index and retail price index, all for June, followed by the house price index for May, set to release in a few hours.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
