GBP/USD hovers around 1.57

FXStreet (Mumbai) - The GBP/USD pair is trading in the sideways manner around 1.57 levels as the European desk’s response to the overnight Greek default is awaited.

Focus on UK PMI and Greek referendum polls

Greece defaulted after German Chancellor Merkel said that Germany would not negotiate on a new bailout agreement for Greece before its referendum which is planned for Sunday. Consequently, the investors would look towards the opinion polls to see if the ‘No’ vote is gaining traction. Meanwhile, the UK PMI data is also under focus.

It remains to be seen if the European desks’s prefer the USD after the second bailout for Greece and the loan repayment deadline expired June 30 midnight. The resulting moves in the EUR/GBP cross could heavily influence the GBP/USD pair.

GBP/USD Technical Levels

The immediate resistance is seen at 1.5749 (23.6% Fib R of 1.5169-1.5928), followed by another hurdle at 1.5790-1.58. On the other hand, support is seen at 1.5670-1.5660, under which a major support is seen at 1.5606 (23.6% Fib R of 1.4564-1.5928).

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