GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose 0.22% against the USD and closed at 1.6199, as investors’ appetite for risk taking increased after the Bank of England (BoE) Governor, Mark Carney reaffirmed his support for stronger supervision of markets, more transparency, and the consequent move to a more robust trading and settlement infrastructure. He also called for “a sustained international engagement” and stated that the UK can no longer dictate standards.
On the economic front, the UK CBI industrial trends survey – orders, on a monthly basis, declined to a level of -4.0 in October, defying market expectation for a rise to 10.0 and from a reading of 9.0 recorded in the previous month.
In the Asian session, at GMT0300, the pair is trading at 1.6212, with the GBP trading 0.08% higher from yesterday’s close.
The pair is expected to find support at 1.6158, and a fall through could take it to the next support level of 1.6103. The pair is expected to find its first resistance at 1.6246, and a rise through could take it to the next resistance level of 1.6279.
In the midst of growing evidence of robust recovery in UK economy, markets are expected to brace a strong third quarter GDP figures scheduled for release later today.
The currency pair is trading just above its 20 Hr and 50 Hr moving averages.
