GBPUSD Movement
On Friday, GBP marginally fell against the USD and closed at 1.7089.
Over the weekend, property tracking website, Rightmove, indicated that the average asking price for a house in the UK fell 0.8% in July, its fist decline reported this year, compared to a rise of 0.1% in the previous month. Furthermore, the agency revealed that the US Government’s “Help to Buy” scheme has supported not only the first-time home buyers, but has proved to be of great help to richer third-time buyers who could afford larger properties.
Meanwhile, a former UK chancellor of the exchequer, Ken Clarke cautioned that the UK economy remains “fragile” and vulnerable to shocks.
In the Asian session, at GMT0300, the pair is trading at 1.7097, with the GBP trading 0.05% higher from Friday’s close.
The pair is expected to find support at 1.7049, and a fall through could take it to the next support level of 1.7002. The pair is expected to find its first resistance at 1.7131, and a rise through could take it to the next resistance level of 1.7166.
Amid a lack of release from the UK scheduled today, trading trends in the pair are expected to be determined by external factors.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
