FxWirePro: GBP/USD bullish outlook with scope to target 1.2500 levels
The Sterling remained in strong bullish tone against dollar on Thursday as buying interest continued as dollar was weighed down after U.S. inflation and unemployment data failed to reverse a downtrend that followed some …
The Sterling remained in strong bullish tone against dollar on Thursday as buying interest continued as dollar was weighed down after U.S. inflation and unemployment data failed to reverse a downtrend that followed some of the biggest gains on record for China's yuan.
Investors shook off promising data on the U.S. economy, including the Institute for Supply Management's non-manufacturing purchasing managers index, which showed new orders and prices paid at their highest levels since August 2015 and August 2014, respectively.
U.S. jobless claims fell to a 43-year low last week, but that data was countered by a soft report from payrolls processor ADP showing employment gains were muted in December.
The pair remains under bulls control unless until it trades above 1.2244 support level, therefore it is good to buy this pair on dips.
To the upside, the strong resistance can be seen at 1.2518, a break above this level would expose to cable to next resistance level at 1.2600.
To the downside immediate support can be seen at 1.2350, a break below will open the door towards next level at 1.2245.
