GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP rose 0.17% against the USD and closed at 1.2592.
On the data front, UK’s consumer price index increased 0.6% on a yearly basis in June, beating market expectations for a rise of 0.4% and compared to a rise of 0.5% in the prior month. Additionally, the retail price index climbed 1.1% on a yearly basis in June, more than market expectations for a rise of 1.0% and compared to a rise of 1.0% in the prior month. Moreover, the output producer price index advanced 0.3% on a monthly basis in June, more than market expectations for a rise of 0.2% and compared to a revised drop of 0.2% in the prior month.
In the Asian session, at GMT0300, the pair is trading at 1.2555, with the GBP trading 0.29% lower against the USD from yesterday’s close.
The pair is expected to find support at 1.2520, and a fall through could take it to the next support level of 1.2485. The pair is expected to find its first resistance at 1.2620, and a rise through could take it to the next resistance level of 1.2685.
Moving ahead, traders would keep a watch on UK’s ILO unemployment rate and average earnings including bonus, both for May, slated to release in a few hours. Additionally, the GfK consumer confidence for July, would keep investors on their toes.
The currency pair is trading below its 20 Hr moving average and showing convergence with its 50 Hr moving average.
