GBP/USD sidelined around 1.2250, PMI eyed

The Sterling is extending its consolidative theme on Wednesday, taking GBP/USD to the mid-1.2200s ahead of UK PMI.

GBP/USD attention to data, FOMC

Nothing much happening around the pair in spite of the recent USD sell off following increasing uncertainty over the outcome of the US elections on November 8: namely, the likeliness that D.Trump could be elected new president of the United States.

GBP has cheered the decision of Governor M.Carney to stay until June 2019, although the positive effects on spot were short-lived and the subsequent upside run out of legs around 1.2280.

Later in the day, UK’s Construction PMI is expected to have eased to 51.8 during October, while US ADP report and the FOMC meeting should grab all the attention later in the session.

GBP/USD levels to consider

As of writing the pair is gaining 0.02% at 1.2245 facing the next resistance at 1.2282 (high Oct.31) followed by 1.2327 (high Oct.18) and finally 1.2377 (high Oct.11). On the other hand, a breach of 1.2086 (low Oct.11) would open the door for a test of 1.1450 (low post-‘flash crash’ Oct.7).