GBP/USD tests 1.6250 after US data; but rejected

FXStreet (San Francisco) - The Sterling is advancing versus the US dollar as the pound is joining the short term USD weakness following disappointing economic data in the United States. The pair, however, wasn't able to hold levels and now it is trading back to 1.6220.

The US manufacturing PMI was reported down to 57.5 in September; the components showed that strong output and new orders growth were maintained; fastest increase in payrolls since 2012. ISM manufacturing was down to 56.6; employment component down to 54.6.

Currently, GBP/USD is trading at 1.6220, up 0.03% on the day, having posted a daily high at 1.6253 and low at 1.6162. The hourly FXStreet OB/OS Index is showing neutral conditions, alongside the FXStreet Trend Index which is slightly bullish.

GBP/USD levels

If the pair extends rejection, it will face supports at 1.6200, 1.6180 and 1.6160. On upside, resistances are at 1.6250, 1.6270 and 1.6285.