1 Mar 2016
GBP/USD strengthened in Asia, trades above hourly100-MA
The corrective rally in the GBP/USD pair continued in Asia, pushing the pair above its hourly 100-MA located at 1.3924 levels.
Eyes UK PMI
Sterling traders await the UK PMI manufacturing report, which is expected to show the pace of growth in the activity slowed further in February. The report will be followed by construction PMI and the most important services PMI release later this week.
Meanwhile, in the US, the ISM manufacturing employment sub index due for release later today could help shape up expectations surrounding Friday’s Non-farm payrolls.
GBP/USD Technical Levels
The immediate resistance is seen at 1.40, above which gains could be extended to 1.4032 (23.6% of 1.4669-1.3835). On the other hand, a failure to sustain above the immediate support at 1.3922 (5-DMA) would shift risk in favor of a drop to 1.3835 (previous day’s low).
Eyes UK PMI
Sterling traders await the UK PMI manufacturing report, which is expected to show the pace of growth in the activity slowed further in February. The report will be followed by construction PMI and the most important services PMI release later this week.
Meanwhile, in the US, the ISM manufacturing employment sub index due for release later today could help shape up expectations surrounding Friday’s Non-farm payrolls.
GBP/USD Technical Levels
The immediate resistance is seen at 1.40, above which gains could be extended to 1.4032 (23.6% of 1.4669-1.3835). On the other hand, a failure to sustain above the immediate support at 1.3922 (5-DMA) would shift risk in favor of a drop to 1.3835 (previous day’s low).