Britain's dominant services sector grew at its weakest pace in more than two years in Aug, adding to uncertainty over BoE rates hikes.
- Data on Thur showed that Markit/CIPS services PMI dropped in Aug to its lowest since May 2013 at 55.6, down from 57.4 in July, well below forecasts of 57.6
- Markit added Britain's overall economic growth rate was likely to slow to 0.5 percent in the three months to September from 0.7 percent in Q2
- GBP/USD softer today, fell to as low as 1.5213 and has pared some loses to currently trade at 1.5227
- The pair continues to head south ignoring oversold levels, daily Stochs and RSI biased lower
- Immediate support is seen at 1.5219 (100% Fib extension of June high-July Low-Aug high), under which the pair could drop to 1.5205 (3rd Daily Pivot Support)
- On the other side, resistance is seen at 1.5264 (Sept 2nd low) and then at 1.5274 (21-HMA)
Resistance Levels:
R1: 1.5264 (Sept 2nd low)
R2: 1.5274 (21-HMA)
R3: 1.5300 (Hourly Cloud Base)
Support Levels:
S1: 1.5219 (Daily Low Sep 3, 100% Fib extension of June high-July Low-Aug high)
S2: 1.5205 (3rd Daily Pivot Support)
S3: 1.5191 (Daily Low Jun 5)
