FxWirePro: GBP/USD resumes downside after failing to break above 1.3000 level
GBP/USD declined on Monday as stronger dollar and poorer-than-expected data from Britain's manufacturing sector weighed on British pound. The latest purchasing managers' index (PMI) showed British factory activity grew m…
GBP/USD declined on Monday as stronger dollar and poorer-than-expected data from Britain's manufacturing sector weighed on British pound.
The latest purchasing managers' index (PMI) showed British factory activity grew much more slowly than forecast in June, with export orders rising at the weakest pace in five months. Activity fell to 54.3 from a downwardly revised 56.3 in May - a three-month low and below all forecasts.
Currency trading activity was muted ahead of the U.S. July Fourth holiday. U.S. financial markets will close early on Monday and will be shut on Tuesday.
Further upside in this pair is expected to be limited as the pair finds strong resistance at 1.2989 which should limit further upside and bring decline towards lower levels in the short term.
To the upside, immediate resistance can be seen at 1.2954, a break above this level would expose the cable to next resistance level at 1.2969 levels.
To the downside strong support can be seen at 1.2927, a break below at this level will open the door towards next level at 1.2900.
