FXStreet (Mumbai) – The bid tone on Sterling gained traction ahead of the European session, pushing the GBP/USD pair above its hourly 50-MA at 1.5424 levels.
Supported by key Fib
The pair bounced off the 23.6% fib retracement of the move witnessed from 1.5107 to 1.5509 located at 1.5414. Sterling witnessed a sharp recovery on Tuesday from the low of 1.5359 and closed the day marginally higher at 1.5419 levels.
The focus now is on the UK services PMI data, which is expected to show the activity expanded at a higher rate in October.
GBP/USD Technical Levels
At 1.5427, the immediate resistance is seen at 1.5463 (50% of 1.5819-1.5107), 1.5475 (100-DMA) and 1.55 levels. A break above 1.55 would expose 1.5568 (38.2% of Jul 14-Mar 15 plunge). On the lower side, 1.5414 (23.6% of 1.5107-1.5509) could offer support, breach of which could send the pair lower to 1.5355 (38.2% of 1.5107-1.5509).
(Market News Provided by FXstreet)