GBP/USD moves higher post-UK data
|- Industrial/Manufacturing production surprised positively.
- Trade deficit narrowed in September.
- Cable advances to 1.3170, daily highs.
The British Pound keeps the positive fashion at the end of the week, now lifting GBP/USD to fresh tops in the 1.3170 in the wake of positive UK results.
GBP/USD bid after data
GBP reverted the negative start today after UK’s industrial production expanded at a monthly 0.7% and manufacturing production rose 0.7% inter-month during September, both prints coming in above prior surveys.
Further data saw the trade deficit shrinking to £11.25 billion in September, also surprising to the upside. The negative note came in from the construction sector, as construction output contracted at a monthly 1.6%, more than previously forecasted.
In the meantime, Cable managed to regain the positive territory and advance to the vicinity of 1.3170, or daily highs, in the wake of the results. However, the sentiment around GBP remains heavy and under pressure amidst persistent Brexit concerns.
GBP/USD levels to consider
As of writing the pair is up 0.07% at 1.3155 and a breakout of 1.3180 (21-day sma) would expose 1.3216 (55-day sma) and then 1.3242 (resistance line). On the other hand, the immediate support is located at 1.3107 (100-day sma) seconded by 1.3064 (support line) and finally 1.3039 (low Nov.3). Further out, FXStreet’s Technical Confluence Index (TCI) notes a strong resistance area in the mid-1.3100s, where converge a Fibo retracement and 4-hour highs.
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.