GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP rose 0.59% against the USD and closed at 1.4537, after UK’s Halifax house price index advanced more-than-expected by 0.6% MoM in May, following a 0.8% decline in the previous month.
In the Asian session, at GMT0300, the pair is trading at 1.4541, with the GBP trading marginally higher against the US Dollar from yesterday’s close.
Early this morning, the World Bank slashed UK’s growth forecast to 2.0% this year and 2.1% in 2017, from its earlier prediction of 2.4% and 2.2%, respectively. Further, the World Bank President, Jim Yong Kim, warned that Britain’s vote to leave the European Union would undermine global trade and thereby affect growth.
The pair is expected to find support at 1.4446, and a fall through could take it to the next support level of 1.4350. The pair is expected to find its first resistance at 1.4640, and a rise through could take it to the next resistance level of 1.4738.
Going ahead, investors look forward to UK’s industrial and manufacturing production data for April, due in a few hours, along with the nation’s NIESR GDP estimate data for three months ended May, scheduled to release later today.
The currency pair is trading between its 20 Hr and 50 Hr moving averages.
