27 Apr 2016
GBP/USD hits news session lows near 1.4570, awaits UK GDP
The GBP/USD pair continues to trade around a flat line below 1.46 handle, as we progress towards the European open, with markets awaiting fresh incentives from the first estimate of UK Q1 GDP figures.
GBP/USD rejected near 1.4600
The GBP/USD pair trades -0.08% lower to fresh session lows of 1.4571, fading a spike to 1.4596, daily highs. The cable is seen in a consolidation phase, after having witnessed sharp gains the day earlier amid broad based US dollar weakness and growing anti-Brexit support.
Moreover, the GBP/USD pair trades with an air of caution as the traders remain unnerved ahead of the UK prelim GDP report due to be published in the European session. Markets are expecting the GDP growth rate to have slow to 0.4% in Q1 2016, down from 0.6% seen in the last quarter of 2015, on the back of global headwinds and looming Brexit concerns.
Apart from the UK data, the main market moving event for the major is expected to be the FOMC decision, following the conclusion of the two-day policy meeting that started on Tuesday.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.4596/ 1.4600 (daily high/ round number), above which 1.4646/70 (daily R1/ Feb 4 High) would be tested. On the flip side, support is seen at 1.4500 (psychological resistance turned support) below that at 1.4486/46 (Apr 26 low & 1h 100-SMA).
GBP/USD rejected near 1.4600
The GBP/USD pair trades -0.08% lower to fresh session lows of 1.4571, fading a spike to 1.4596, daily highs. The cable is seen in a consolidation phase, after having witnessed sharp gains the day earlier amid broad based US dollar weakness and growing anti-Brexit support.
Moreover, the GBP/USD pair trades with an air of caution as the traders remain unnerved ahead of the UK prelim GDP report due to be published in the European session. Markets are expecting the GDP growth rate to have slow to 0.4% in Q1 2016, down from 0.6% seen in the last quarter of 2015, on the back of global headwinds and looming Brexit concerns.
Apart from the UK data, the main market moving event for the major is expected to be the FOMC decision, following the conclusion of the two-day policy meeting that started on Tuesday.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.4596/ 1.4600 (daily high/ round number), above which 1.4646/70 (daily R1/ Feb 4 High) would be tested. On the flip side, support is seen at 1.4500 (psychological resistance turned support) below that at 1.4486/46 (Apr 26 low & 1h 100-SMA).