GBP/USD undermined by weak PMI data
The GBP/USD was already weaker after the Bank of England kept rates unchanged at 5.25% as expected, in a "finely balanced" decision for some members on Thursday, which the market had interpreted as a signal that the first rate cut was going to come in August. Well, today, we had weaker-than-expected PMI data from the UK, which means that "balance" is shifting towards a cut on a marginal basis. Add to this, the ongoing election uncertainty in the UK, traders are happy to sit on the offer on the cable.
As a result, the GBP/USD has dropped to its lowest point since mid-May, testing potential support at 1.2635 at the time of writing. A more significant support to watch is at 1.2550 where the 200-day average meets a prior support/resistance zone. Resistances to watch include 1.2655, 1.2700 and 1.2735.
By Fawad Razaqzada, market analyst at FOREX.com
As a result, the GBP/USD has dropped to its lowest point since mid-May, testing potential support at 1.2635 at the time of writing. A more significant support to watch is at 1.2550 where the 200-day average meets a prior support/resistance zone. Resistances to watch include 1.2655, 1.2700 and 1.2735.
By Fawad Razaqzada, market analyst at FOREX.com
Thông báo miễn trừ trách nhiệm
Thông tin và ấn phẩm không có nghĩa là và không cấu thành, tài chính, đầu tư, kinh doanh, hoặc các loại lời khuyên hoặc khuyến nghị khác được cung cấp hoặc xác nhận bởi TradingView. Đọc thêm trong Điều khoản sử dụng.