GBP/USD holds steady around mid-1.2900s, moves little post-UK PMI


  • UK political optimism continues to underpin the British Pound.
  • UK manufacturing PMI jumps to six-month highs of 49.6 in Oct.
  • Friday’s key focus will remain on the US monthly jobs report.

The GBP/USD pair held on to its mildly positive tone through the early European session on Friday and had a rather muted reaction to the latest UK macro data.
 
The pair built on this week's rebound from the 1.2800 neighbourhood and edged higher for the fifth consecutive session on Friday, albeit lacked any strong bullish conviction. The British Pound remained supported by the incoming opinion polls, which have been indicating a majority for the UK Prime Minister Boris Johnson's Conservative Party at the upcoming election in December.

Upbeat UK PMI failed to impress bulls

This coupled with the prevalent US Dollar selling bias, despite the Fed's indications that further monetary easing is unlikely, remained supportive of the pair's uptick, albeit lacked any strong bullish conviction. The fact that the actual outcome of the UK snap election could be surprising held investors from placing any aggressive bullish bets and kept a lid on any strong follow-through momentum.
 
The pair remained capped below the key 1.3000 psychological mark and moved little following the release of better-than-expected UK manufacturing PMI, which unexpectedly jumped to a six-month high level of 49.6 in October. The reading was well above four-month highs of 48.3 recorded in September and surpassed consensus estimates pointing to a reading of 48.1, though failed to impress bullish traders.
 
Moreover, investors preferred to stay on the sidelines heading into Friday's release of the closely watched US monthly jobs report, which could also be seen as one of the key factors that collaborated to the pair's subdued trading action on the last day of the week.

Technical levels to watch

GBP/USD

Overview
Today last price 1.2947
Today Daily Change 0.0005
Today Daily Change % 0.04
Today daily open 1.2942
 
Trends
Daily SMA20 1.2711
Daily SMA50 1.2479
Daily SMA100 1.2439
Daily SMA200 1.2713
 
Levels
Previous Daily High 1.2976
Previous Daily Low 1.2894
Previous Weekly High 1.3013
Previous Weekly Low 1.2787
Previous Monthly High 1.3013
Previous Monthly Low 1.2194
Daily Fibonacci 38.2% 1.2945
Daily Fibonacci 61.8% 1.2926
Daily Pivot Point S1 1.2898
Daily Pivot Point S2 1.2855
Daily Pivot Point S3 1.2816
Daily Pivot Point R1 1.2981
Daily Pivot Point R2 1.302
Daily Pivot Point R3 1.3063

 

 

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.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD advances above 1.14 after unchanged ECB, mixed US data

EUR/USD is trading above 1.14, higher after the ECB left policy unchanged and called governments to act. US retail sales beat with 7.5% while jobless claims disappointed with 1.3 million. US coronavirus figures are showing further increases in cases.

EUR/USD News

GBP/USD advances above 1.26 amid mostly upbeat US, UK data

GBP/USD is trading above 1.26, higher. The UK jobs reports showed low unemployment but also depressed wages. US retail sales beat expectations but jobless claims remain high. 

GBP/USD News

Gold trades with modest losses, downside remains limited

Gold witnessed a modest intraday pullback amid a pickup in the USD demand. The prevalent risk-off mood extended some support to the safe-haven metal. A sustained break below $1800 is needed to confirm a bearish break.

Gold News

Why is the crypto market falling today?

War for dominance impacts the market and heralds several days of turbulence. Fight between Bitcoin and Ethereum hurts the Altcoin segment, which is largely overbought after weeks of euphoria. Ripple is the most affected of the Top 3 and steps back into a high-risk environment.

Read more

Oil : The price action seems indecisive at these elevated levels

WTI is still in a bull trend on the chart below but at these elevated levels, it seems the price seems to be very jittery. Previously within this trend when the price moved higher the size of the bullish candles was bigger. 

Oil News

Forex MAJORS

Cryptocurrencies

Signatures