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FxWirePro: GBP/USD hits 3-month low, scope for further downside

• GBP/USD  hit three-month low on Tuesday as sterling attracted sellers  after data  showed regular wage growth cooled.

• British wage growth excluding bonuses fell in the third quarter to its lowest in over two years, data released earlier in the day showed.

• Also weighing on sentiment, Bank of England Chief Economist Huw Pill stated that the labor market data indicated inflation pressures were still too high to meet the BoE’s 2% target.

• At GMT 16:31, the pair was trading down 0.91% at 1.2751, lowest since Aug 13th .

•   Immediate resistance is located at 1.2824( 50%fib), any close above will push the pair towards 12911(SMA9)

•  Strong support is seen at 1.2746(Daily low) and break below could take the pair towards 1.2679(23.6%fib).

  Recommendation: Good to sell around 1.2760, with stop loss of 1.2820  and target price of 1.2700

 

 

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