Forex: GBP/USD: Pound, extends rally to 1.6540 after Services PMI

Wed, Nov 4 2009, 09:49 GMT
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FXstreet.com (Barcelona) - The Pound has extended its rally from yesterday's low at 1.6260 to 1.6530 session high so far, as the pair jumped from 1.6500 on the back of a better than expected performance on the services sector in October.

Non Manufacturing PMI Index rose to 56.9 in October from 55.3 in September, beating analyst's expectations of a slight increase, to levels around 55.5. Services sector's activity, thus, expanded in the UK for the sixth consecutive month and at a faster pace than iin September. PMI figures show expansion in the sectors activity at levels above 50.0 and contraction otherwise.

At the moment, the Pound lies at 1.6540 with next resistance levels at 1.6550, and above here, 1.6570/80 (Oct 30 high) and 1.6600 (Oct 29 high). On the downside, the Pound might find support at 1.6480 (Noc 2 low), below here, 1.6400 session low and 1.6345/50.

GBP/USD

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