FXStreet (Mumbai) – The GBP/USD pair bounced-off the 1.53 handle earlier on the day and remains on the bid in the European hours, after a renewed selling wave hit the greenback as risk-conditions continue to deteriorate.

GBP/USD bounces-off 1.5300

The GBP/USD pair 0.05% higher at 1.5325, heading towards fresh two-week highs reached at 1.5344in the previous session. The major regained strength and accelerated to the upside after the weakness in the European stocks hampered the market sentiment, diminishing he bids for the risk currency – the US dollar. The USD index drops -0.37% to 95.30.

Moreover, the cable remains supported after the solid UK industrial production data released on Wednesday. The total industrial production in the UK rose 1% m/m in Aug versus expectations of a 0.3% gain and rebounded from -0.4% seen in July.

Looking ahead, the focus now remains on the BOE monetary policy decision and the MPC vote outcome for further hints on the BOE interest rate outlook.

GBP/USD Levels to consider

The pair has an immediate resistance at 1.5344/47 (Oct 7 High & 200-DMA) above which gains could be extended to 1.5370 (Sept 23 High) levels. On the flip side, support is seen at 1.5293 (20-DMA) below which it could extend losses to 1.5241 (5-DMA) levels.

The GBP/USD pair bounced-off the 1.53 handle earlier on the day and remains on the bid in the European hours, after a renewed selling wave hit the greenback as risk-conditions continue to deteriorate.

(Market News Provided by FXstreet)

By FXOpen