GBP/USD tests highs near 1.2900 post-UK’s PMI

The British Pound met a wave of buying pressure after the release of UK’s Services PMI, lifting GBP/USD to the area of daily highs just below the 1.2900 limestone.

GBP/USD bid after data

Cable inched higher after UK’s Services PMI surprised markets to the upside today, coming in at 55.8 for the month of April (vs. 54.5 forecasted).

Further data saw BoE’s Consumer Credit at £1.624 billion in March while M4 Money Supply expanded at a monthly 0.3% during the same period. Additionally, Net Lending to Individuals came in at £4.7 billion while Mortgage Approvals dropped to 66.84K during March.

GBP/USD levels to consider

As of writing the pair is up 0.13% at 1.2885 and a breakout of 1.2893 (high May 4) would open the door to 1.2953 (high May 3) and finally 1.2970 (2017 high Apr.28). On the other hand, the immediate support aligns at 1.2861 (low May 3) followed by 1.2758 (low Apr.21) and finally 1.2728 (20-day sma).