GBP/USD Forecast: back towards the weekly low at 1.5169


The GBP/USD pair gave up most of its weekly gains, following the release of the UK Services PMI that printed a fresh 5-month low of 56.5. May figures suffered the sharpest decline in four years, raising concerns over the local economic recovery, ahead of BOE's meeting this Thursday. 

The pair accelerated its decline down to 1.5253 so far today, and trades around the 1.5260 strong static support level. In the 4 hours chart, the price is breaking through its 20 SMA, whilst the technical indicators are crossing their mid-lines towards the downside with a sharp bearish slope, all of which supports further declines for the day. If the prices accelerates below the mentioned daily low, the decline can extend down to the 1.5210 price zone, with a break below this last favoring an extension to this June low at 1.5169.

The immediate resistance is now the 1.5300 figure, with short term selling interest probably surging there if reached. The price needs to advance and stabilize beyond it to be able to revert the negative intraday tone, and recover up to the 1.5360 region later on in the day. 

View live chart of the GBP/USD

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