GBP/USD dropped 50 pips

FXstreet.com (London) - GBP/USD dropped 50 pips on the release of GDP data in line with expectations.

GBP/USD moved from 1.5370/80 territory to 1.5318 immediately on the release that printed 0.6% QoQ and 1.4% YoY in line with consensus, but had since returned to trade 1.5330/50 with a bias towards the lower end of that range. It broke again to test 1.5320 support as last defence for the figure and lower supports.

GBP/USD testing support 1.5320

Danske Bank’s Technical Update offers 20d ma at 1.5161, 50d ma at 1.5288, 200 d ma at 1.5580 and RSI (9) printing 63.91. Supports are 1.5270, 1.5280, 1.5297, and 1.5326 while at the time of writing Spot is 1.5325. Resistances are 1.539,7 1.5436, 1.5442, and 1.5480. The bear’s attentions will now be to the 1.5270 accelerated uptrend and support area. A close here is required below to alleviate the upside pressure and avert continued gains.

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