GBP/USD Trims Gain from Around 1.4700 Level
The GBP/USD pair pared some of its gains from the vicinity of 1.4700 mark and dropped back to 1.4660 level.
The
pair continues to climb heights and moved to session high of 1.4696,
inch closer to 1.4700 handle before retracing back a bit as investors
now await for the release of ISM manufacturing PMI data in order to
gauge health of the US manufacturing sector.
Technical levels to watch
Although
the pair reversed from higher levels, it is still holding above 1.4650
immediate support. A follow through weakness below this immediate
support seems to drag the pair back towards 1.4615-1.4600 support area.
This 1.4600 level marks a short-term ascending trend-channel support,
held since mid-April. Hence, only a decisive break below the
trend-channel support would negate prospects of any further up-move for
the pair.
On the upside, until the pair continues to oscillate
within the ascending trend-channel formation, it could make a fresh
attempt to retest 1.4700 handle, which if conquered has the potential to
trigger a fresh leg of up-move initially towards 1.4725-30 horizontal
resistance and eventually towards the trend-channel resistance,
currently pegged near 1.4800 round figure.
