GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP declined 0.12% against the USD and closed at 1.2857, after Britain’s construction PMI fell more than expected in August.
Data revealed that UK’s construction PMI declined to 52.9 in August, notching its lowest level in three months and more than market forecast for a fall to a level of 54.9. In the previous month, the PMI had recorded a reading of 55.8.
In the Asian session, at GMT0300, the pair is trading at 1.2867, with the GBP trading 0.08% higher against the USD from yesterday’s close, after the Bank of England (BoE) Governor, Mark Carney indicated that he would stay on the central bank board beyond his planned June 2019 departure to ensure a smooth Brexit. Additionally, he indicated that he would do “whatever he could” to promote both a smooth Brexit and an effective transition at the central bank.
The pair is expected to find support at 1.2828, and a fall through could take it to the next support level of 1.2790. The pair is expected to find its first resistance at 1.2888, and a rise through could take it to the next resistance level of 1.2910.
Trading trend in the Pound today is expected to be determined by the UK’s Markit services PMI for August, slated to release in a few hours.
The currency pair is trading above its 20 Hr moving average and showing convergence with its 50 Hr moving average.
