The GBP/USD pair bounced towards the 1.5420 price zone after getting some relief from the release of the UK Construction PMI, which resulted in October at 58.8 as expected, and against previous 59.9. The data continues to reflect solid growth in the kingdom, meaning that, beyond some intraday declines triggered by dollar demand, Pound's declines against its American rival will likely remain contained.
From a technical point of view however, and given the ongoing dollar's strength, the pair is coming under bearish pressure, as in the 4 hours chart, the technical indicators have retreated further from overbought levels and continue approaching their mid-lines with sharp bearish slopes. The 20 SMA, however, heads higher around 1.5390, providing and immediate intraday support, and the level to break to confirm additional declines for today, towards the 1.5330/40 price zone.
The pair has set a daily high at 1.5446 earlier today, which means that only some steady gains beyond this last could see the negative tone reversing, and the price approaching once again to the critical 1.5500 level.
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