GBP/USD: investors await data on unemployment in the US
Current trend
GBP/USD is trading in a corrective trend against the backdrop of an increase in the US currency, being in the area of 1.3130.
The British pound, against the backdrop of the publication of positive macroeconomic statistics, attempted local growth, which, however, turned out to be unsuccessful due to the positive dynamics of the US dollar. However, UK GDP grew by 1.3% in Q4 2021, better than the 1.0% increase expected by analysts. Annual GDP growth has been adjusted to 6.6%, which also exceeds the projected 6.5%. Better than expected was also the March Housing Price Index published by Nationwide, which amounted to 1.1% against the forecast of 0.8%. The annual growth of the indicator was 14.3%, while expectations were at the level of 13.5%.
In turn, the US dollar made a slight upward spurt, reaching 98.400 in the USD Index against the backdrop of a reduction in Continuing Jobless Claims to 1.307M from 1.342M a week earlier. The indicator fell despite the increase in the number of Initial Jobless Claims to 202K from 188K a week earlier. Investors are waiting for the publication of today's report on the unemployment rate, by which it will be possible to assess the dynamics in the US labor market and the prospects for further growth of the national currency.
Support and resistance
GBP/USD is trading within the global downward channel, approaching the support line, on the way to which the annual low is located. Technical indicators maintain a sell signal: the range of EMA fluctuations on the Alligator indicator stays wide and the histogram of the AO oscillator is trading in the sales zone.
Support levels: 1.3000, 1.2820.
Resistance levels: 1.3259, 1.3615.
GBP/USD is trading in a corrective trend against the backdrop of an increase in the US currency, being in the area of 1.3130.
The British pound, against the backdrop of the publication of positive macroeconomic statistics, attempted local growth, which, however, turned out to be unsuccessful due to the positive dynamics of the US dollar. However, UK GDP grew by 1.3% in Q4 2021, better than the 1.0% increase expected by analysts. Annual GDP growth has been adjusted to 6.6%, which also exceeds the projected 6.5%. Better than expected was also the March Housing Price Index published by Nationwide, which amounted to 1.1% against the forecast of 0.8%. The annual growth of the indicator was 14.3%, while expectations were at the level of 13.5%.
In turn, the US dollar made a slight upward spurt, reaching 98.400 in the USD Index against the backdrop of a reduction in Continuing Jobless Claims to 1.307M from 1.342M a week earlier. The indicator fell despite the increase in the number of Initial Jobless Claims to 202K from 188K a week earlier. Investors are waiting for the publication of today's report on the unemployment rate, by which it will be possible to assess the dynamics in the US labor market and the prospects for further growth of the national currency.
Support and resistance
GBP/USD is trading within the global downward channel, approaching the support line, on the way to which the annual low is located. Technical indicators maintain a sell signal: the range of EMA fluctuations on the Alligator indicator stays wide and the histogram of the AO oscillator is trading in the sales zone.
Support levels: 1.3000, 1.2820.
Resistance levels: 1.3259, 1.3615.