GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose 0.21% against the USD and closed at 1.6457, after the National Institute of Economic and Social Research (NIESR) estimated the UK economy to have grown 0.8% in the three months ending in November, following growth of 0.7% in the previous quarter.
On the economic front, UK’s total trade deficit trade deficit narrowed to £2.619 billion in October, compared to a deficit of £2.644 billion recorded in the preceding month. Separately, industrial production in the UK rose 0.4% (MoM), higher than market expectations of a 0.3% rise and compared to a 0.9% (MoM) increase registered in the previous month. In another report, UK’s manufacturing production also rose 0.4% (MoM), in-line with analysts’ estimates, following a 1.2% (MoM) rise recorded in September.
In the Asian session, at GMT0400, the pair is trading at 1.6444, with the GBP trading 0.08% lower from yesterday’s close.
The pair is expected to find support at 1.6421, and a fall through could take it to the next support level of 1.6398. The pair is expected to find its first resistance at 1.6467, and a rise through could take it to the next resistance level of 1.6490.
The Bank of England (BoE) Monetary Policy Committee (MPC) member, Martin Weale, is expected to deliver a speech on the UK economy, later today.
The currency pair is showing convergence with its 20 Hr moving average and is trading above its 50 Hr moving average.
