GBP/USD Clings to Gains Near 1.4500
After bottoming out in the area of 1.4490, GBP/USD has now recovered some pips and trades above the 1.4500 mark ahead of UK data.
GBP/USD now looks to PMI
Spot
has faded the initial spike to daily tops near 1.4530 although buyers
seem to have turned up around 1.4490 ahead of the relevant Services PMI
in the UK economy.
Consensus amongst traders sees the PMI easing a
tad during April, adding to earlier prints from the manufacturing and
construction sectors and showing a potential deceleration of the
economy.
After posting fresh 4-month highs around 1.4770 on
Tuesday, the pair has given away more than 2 cents in response to a pick
up in the demand for the greenback.
Across the pond, the weekly
report on the US labour market and the speech by St Louis Fed J.Bullard
will also be in the limelight.
GBP/USD levels to consider
As
of writing the pair is up 0.01% at 1.4497 and a break above 1.4770
(high May 3) would open the door to 1.4815 (2016 high Jan.4) and finally
1.4854 (200-day sma). On the flip side, the next support lines up at
1.4398 (20-day sma) ahead of 1.4298 (low Apr.21) and finally 1.4271
(55-day sma).