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3 Jun 2015
GBP/USD off lows near 1.5265
FXStreet (Mumbai) - GBP/USD was heavily sold-off in the mid-European session, largely on the back of sterling weakness after the UK services sector surprised on the downside in May. While broad based US dollar recovery also keeps the major undermined as traders now focus on US jobs data and the ECB's presser.
GBP/USD dips to lows on poor UK data
The GBP/USD pair trades -0.57% lower at 1.5259, testing session lows near 1.5250 levels. The cable maintains an offered tone this session largely as the pound remains pressured after below estimates UK services PMI report. The UK services PMI eased to 56.5 in May, from 59.5 in April, while it was expected to edge down to 59.2.
Moreover, strengthening US dollar across the board, resuming its broader upside bias, also keeps the pair undermined. The US dollar index, measuring the relative strength of the greenback against a basket of six major currencies, trades -0.25% lower at 96.23.
Looking ahead, the major market mover will come when the European Central Bank meets in Frankfurt, followed by a press conference from bank President Mario Draghi. While markets also await the key data from US - the ADP private employment report, which will shed light on Friday’s US nonfarm payrolls report.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.5292 (May 6 High) above which gains could be extended to 1.5343 (April 28 High) levels. On the flip side, support is seen at 1.5250 below which it could extend losses to 1.5200 levels.
GBP/USD dips to lows on poor UK data
The GBP/USD pair trades -0.57% lower at 1.5259, testing session lows near 1.5250 levels. The cable maintains an offered tone this session largely as the pound remains pressured after below estimates UK services PMI report. The UK services PMI eased to 56.5 in May, from 59.5 in April, while it was expected to edge down to 59.2.
Moreover, strengthening US dollar across the board, resuming its broader upside bias, also keeps the pair undermined. The US dollar index, measuring the relative strength of the greenback against a basket of six major currencies, trades -0.25% lower at 96.23.
Looking ahead, the major market mover will come when the European Central Bank meets in Frankfurt, followed by a press conference from bank President Mario Draghi. While markets also await the key data from US - the ADP private employment report, which will shed light on Friday’s US nonfarm payrolls report.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.5292 (May 6 High) above which gains could be extended to 1.5343 (April 28 High) levels. On the flip side, support is seen at 1.5250 below which it could extend losses to 1.5200 levels.