GBP/USD around 1.3400 post-PMI
|- UK services PMI came in below expectations.
- Cable tested and rebounded from 1.3380/70.
- Brexit jitters keep weighing on GBP.
The offered tone around the British Pound stays unchanged on Tuesday, with GBP/USD managing to retake the 1.3400 handle after briefly testing the 1.3380/70 band, or 4-week lows.
GBP/USD apathetic on PMI
Cable keeps the selling bias today after UK’s services PMI missed expectations for the month of November at 53.8 vs. 55.0 initially expected and down from October’s 55.6.
GBP remains fragile amidst some renewed jitters over the Brexit negotiations, sparked after UK’s T.May and EU’s J.C.Juncker failed to clinch a deal at a meeting on Monday. In this regard, another meeting is expected at some point on Wednesday.
In addition, the ‘Irish border’ issue still remains far from solved and further meetings are expected between the DUP and Theresa May in the next hours.
GBP/USD levels to consider
As of writing, the pair is losing 0.47% at 1.3416 and a break below 1.3373 (low Dec.5) would aim for 1.3282 (21-day sma) and then 1.3221 (low Nov.28). On the other hand, the immediate up barrier aligns at 1.3538 (high Dec.4) seconded by 1.3550 (high Dec.1) and finally 1.3658 (2017 high Sep.20).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.