OctaFX | OctaFX Forex Broker
Open trading account

GBP/USD tests October lows, eyes 1.51 on NFP?

FXStreet (Mumbai) - GBP/USD stalled its post-UK data driven recovery near 1.5160 levels and returned to fresh monthly lows, as the greenback keeps gaining ground across the board ahead of the US labor market report.

GBP/USD sold-off into mixed UK data

The GBP/USD pair trades -0.44% lower at 1.5142, reverting to fresh four-week lows posted at 1.5137 in last hours. The major faces double whammy this session, with the mixed set of UK industrial data and stronger demand for the US currency weighing heavily on the pair.

The cable remains pressured after BOE Mark Carney refrained from commenting on the BOE rate hike ‘at the turn of this year’ and rather sounded more dovish than before. While the downward CPI and GDP revisions in the QIR also hurt the sentiment around sterling.

Moving on, in the New York session ahead, markets await the crucial US employment data, which will set the tone for currency markets over the coming weeks. The payrolls are expected to show a 182,000 jobs increase, up from 142,000 in Sept.

GBP/USD Levels to consider

The pair has an immediate resistance at 1.5220 (daily highs), above which 1.5270 (daily pivot) would be tested. On the flip side, support is seen at 1.5105/00 (Sept lows/ psychological levels). Selling pressure would intensify below the last, dragging the pair towards 1.5087 (May lows).

EUR/USD: Attempting to break above hourly 50-MA

The EUR/USD is off the lows, but is struggling to rise above the confluence of the hourly 50-MA and 10-MA located at 1.0875 levels.
Read more Previous

ECB has more space on deposit rate – ECB’s Hansson

The European Central Bank (ECB) member Hansson indirectly hinted at a possibility of a deposit rate cut today by stating that the bank has a bit more space on a deposit rate cut.
Read more Next
Start livechat