GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP declined 0.29% against the USD and closed at 1.5617, after Fed’s minutes indicated that the policy-makers might slowdown the pace of its stimulus measures later this year.
Meanwhile in the UK, public sector posted a deficit of £1.6 billion in July, compared to an upwardly revised surplus of £10.5 billion reported in the previous month. Market had anticipated public sector deficit of £5.0 billion in July. Separately, the Confederation of British Industry reported that its industrial trend survey in the UK unexpectedly rose to a reading of 0 in August, following a level of -12 recorded in the earlier month.
In the Asian session, at GMT0300, the pair is trading at 1.5603, with the GBP trading marginally lower from yesterday’s close.
The pair is expected to find support at 1.5554, and a fall through could take it to the next support level of 1.5506. The pair is expected to find its first resistance at 1.5685, and a rise through could take it to the next resistance level of 1.5768.
With no major economic releases in the UK, investors would keep an eye on the release of Markit’s manufacturing and service PMI data for the Euro-zone, slated later today.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
