6 Jan 2016
GBP/USD challenges lows near 1.4650
FXStreet (Edinburgh) - The weakness around the sterling remains well and sound on Wednesday, dragging GBP/USD to challenge recent multi-month lows in the mid-1.4600s.
GBP/USD focus on PMI
Spot continues to trade on a soft note in levels last seen in April 2014 around 1.4650/40, dragged lower by the generalized sentiment towards the greenback. The pound will remain under pressure however, as the always relevant UK Services PMI is due later. Market consensus expects the reading to come a tad lower for the month of December, at 55.6 vs. November’s 55.9.
On the dollar’s side, US ADP report is due seconded by Factory Orders and the more relevant FOMC minutes.
GBP/USD important levels
The pair is now retreating 0.11% at 1.4653 and a breach of 1.4632 (low Mar.18) would open the door to 1.4563 (low Apr.13) and then 1.4500 (psychological level). On the flip side, the next up barrier aligns at 1.4947 (high Dec.24) ahead of 1.5000 (psychological level) and finally 1.5087 (55-day sma).
GBP/USD focus on PMI
Spot continues to trade on a soft note in levels last seen in April 2014 around 1.4650/40, dragged lower by the generalized sentiment towards the greenback. The pound will remain under pressure however, as the always relevant UK Services PMI is due later. Market consensus expects the reading to come a tad lower for the month of December, at 55.6 vs. November’s 55.9.
On the dollar’s side, US ADP report is due seconded by Factory Orders and the more relevant FOMC minutes.
GBP/USD important levels
The pair is now retreating 0.11% at 1.4653 and a breach of 1.4632 (low Mar.18) would open the door to 1.4563 (low Apr.13) and then 1.4500 (psychological level). On the flip side, the next up barrier aligns at 1.4947 (high Dec.24) ahead of 1.5000 (psychological level) and finally 1.5087 (55-day sma).