2 Sep 2013
GBP/USD finds support
FXstreet.com (London) - GBP/USD has continued to descend from the overnight highs of 1.5595 and is approaching the 1.5525/30 support line.
“Today's UK manufacturing PMI was stronger than expected. The output sub-index gives an estimate of 4.5% y/y growth in the official ONS output data. Despite this good reading, we see downside risks to this week's UK services PMI survey as it has risen strongly to high levels. Away from the UK, Friday's payroll report presents the main event for the week. In fact, it has the potential to set the tone for the next couple of months. The report should only affect the pace of any eventual announcement on tapering rather than the start date which is still expected to be September. We would expect a stronger number to play USD positive, with only a print sub 100k likely to see the USD weaken”.
GBP/USD supported at the 20 DMA
GBP/USD is trading at the 20 DMA is 1.5535, the 50 DMA is 1.5341 and the 200 DMA is 1.5506. RSI (14) reads 56.78. Supports are ascending from 1.5442 1.5462 1.5484 1.5507. Spot is 1.5540 while resistances are 1.5573, 1.5592, 1.5612 and 1.5638.
“Today's UK manufacturing PMI was stronger than expected. The output sub-index gives an estimate of 4.5% y/y growth in the official ONS output data. Despite this good reading, we see downside risks to this week's UK services PMI survey as it has risen strongly to high levels. Away from the UK, Friday's payroll report presents the main event for the week. In fact, it has the potential to set the tone for the next couple of months. The report should only affect the pace of any eventual announcement on tapering rather than the start date which is still expected to be September. We would expect a stronger number to play USD positive, with only a print sub 100k likely to see the USD weaken”.
GBP/USD supported at the 20 DMA
GBP/USD is trading at the 20 DMA is 1.5535, the 50 DMA is 1.5341 and the 200 DMA is 1.5506. RSI (14) reads 56.78. Supports are ascending from 1.5442 1.5462 1.5484 1.5507. Spot is 1.5540 while resistances are 1.5573, 1.5592, 1.5612 and 1.5638.