GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP rose 0.35% against the USD and closed at 1.3960, shrugging off disappointing GDP report from the UK.
In economic news, the second estimate of Britain’s gross domestic product (GDP) was revised lower to 0.4% on a quarterly basis in the three months to December 2017, as household spending and business investment tailed off, thus offering latest sign of the growing hit to the economy from rising inflation. The nation’s GDP had registered a similar rise in the previous quarter, while the preliminary print had indicated a rise of 0.5%.
In other economic news, the flash total business investment in the UK remained flat on a quarterly basis in 4Q 2017, compared to an advance of 0.5% in the prior quarter, while markets were anticipating for a gain of 0.4%.
In the Asian session, at GMT0400, the pair is trading at 1.3948, with the GBP trading 0.09% lower against the USD from yesterday’s close.
The pair is expected to find support at 1.3874, and a fall through could take it to the next support level of 1.3799. The pair is expected to find its first resistance at 1.4006, and a rise through could take it to the next resistance level of 1.4063.
Amid no macroeconomic releases in the UK today, investors would focus on Britain’s Markit manufacturing as well as construction PMs, GfK consumer confidence index, mortgage approvals and net consumer credit data, all set to release next week.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
