GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP rose 0.09% against the USD and closed at 1.2885, after the latest data indicated that UK’s manufacturing sector is sustaining most of the growth momentum.
Britain’s Markit manufacturing PMI fell less-than-expected to a level of 56.7 in May, compared to a reading of 57.3 in the prior month. Markets were expecting the manufacturing PMI to drop to a level of 56.5. Meanwhile, the nation’s seasonally adjusted Nationwide house prices surprisingly eased 0.2% on a monthly basis in May, falling for the third consecutive month and confounding market expectations for an advance of 0.2%. House prices had dropped 0.4% in the prior month.
In the Asian session, at GMT0300, the pair is trading at 1.2877, with the GBP trading 0.06% lower against the USD from yesterday’s close.
The pair is expected to find support at 1.2833, and a fall through could take it to the next support level of 1.2788. The pair is expected to find its first resistance at 1.2919, and a rise through could take it to the next resistance level of 1.296.
Moving ahead, traders would focus on Britain’s Markit construction PMI for May, set to release in a few hours.
The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
