GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose marginally against the USD and closed at 1.4906. However, the gains in the Pound were limited as industrial and manufacturing production in the UK registered a drop in January.
UK’s industrial production fell unexpectedly by 1.2% (MoM) in January, reversing the1.1% rise recorded in December. Meanwhile, on a monthly basis, manufacturing production in the UK declined 1.5% in January, compared to a revised 1.5% rise recorded in December. Moreover, the NIESR gross domestic product estimate for the three months ending February, shrank 0.1% in February, following a downwardly revised drop of 0.2% recorded in the previous month.
However, providing some relief to investors UK’s goods trade deficit narrowed to £8.2 billion in January, from a £8.7 billion deficit in December. The total trade deficit narrowed to £2.4 billion in January, compared with a £2.8 billion deficit in December.
In the Asian session, at GMT0400, the pair is trading at 1.4933, with the GBP trading 0.18% higher from yesterday’s close.
The pair is expected to find support at 1.4859, and a fall through could take it to the next support level of 1.4784. The pair is expected to find its first resistance at 1.4981, and a rise through could take it to the next resistance level of 1.5028.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
