STERLING AWAITS UK CONSTRUCTION PMI
The British pound has opened the new trading week with a bullish trading tone against the U.S dollar, as investors await the release of the United Kingdom construction PMI, for the month of August.
After Friday's weaker than expected U.S Nonfarm payrolls job report, sterling moved to 1.2995, but failed to close price above the 50-day moving average, at 1.2984, and was subsequently rejected towards 1.2955.
Sterling remains bullish on a short and medium-basis, with price now needing to move clearly above the 1.2990 level, to break-away from range bound trading conditions.
Key technical resistance is located at the monthly pivot point, at 1.2990, the 1.3047 level, and the former monthly pivot point, at 1.3082.
Key intraday technical support is located at the weekly pivot point, at 1.2952, and the daily pivot point, at 1.2932. The 100-day moving average is found at 1.2920, with further strong support found at 1.2889.