GBPUSD Movement
For the 24 hours to 23:00 GMT, the GBP declined 0.13% against the USD and closed at 1.4286, after the release of mixed jobs data in the UK.
Data showed that, the ILO unemployment rate unexpectedly remained steady at a decade low level of 5.1% during the three months to December 2015. Further, the number of people employed advanced by 205.0K during the same period, compared to market expectations for an advance of 225.0K, and after registering a gain of 267.0K in the preceding quarter. Additionally, the average weekly earnings rose by 1.9% YoY in the December quarter, recording its slowest growth since February 2015, thus underscoring the view that the BoE is likely to keep key interest rate at record low level for some time ahead.
In the Asian session, at GMT0400, the pair is trading at 1.4305, with the GBP trading 0.13% higher from yesterday’s close.
The pair is expected to find support at 1.4246, and a fall through could take it to the next support level of 1.4188. The pair is expected to find its first resistance at 1.4352, and a rise through could take it to the next resistance level of 1.4399.
With no macroeconomic releases in UK today, market participants await the release of UK’s retail sales and public sector net borrowing data, slated to release tomorrow.
The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.
