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GBP/USD had to ignore inflation data on no surprises

FXStreet (Moscow) - GBP/USD slid to 5-day low at 1.6160 just before the CPI release, and hardly moving post data.

First data to watch

The pound was killed by rumors of weaker than expected UK CPI numbers, which took it to 5-day low. However, the Consumer Price Index came out as expected at 0.4% m/m, 1.5% y/y, while Output PPI was a bit worse than forecasted at -0.1% m/m, -0.3% y/y vs -0.1% m/m, -0.2% y/y. The biggest disappointment came from Yearly Input PPI (-7.2% vs -6.8%). However, DCLG house price index exceeded expectations. All in all, the data was mostly in line with expectations, leaving the pair without any catalysts around current 1,6170 area. The rebound within the ‘sell the fact’ move is not ruled out with initial target at 1.6197.

What are today’s key GBP/USD levels?

Today's central pivot point can be found at 1.6197, with support below at 1.6157, and 1.6117 with resistance above at 1.6256, 1.6297, and 1.6338. Hourly Moving Averages are bearish, with the 200SMA at 1.6232, and the daily 20EMA bearish at 1.6413. Hourly RSI is bearish at 30.

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