GBP/USD Forecast: Pound Sterling closes in on key resistance area
GBP/USD holds its ground and trades above 1.3550 in the European session on Thursday after posting small gains on Wednesday. In case the pair manages to break above the 1.3590-1.3600 resistance area, it could continue to stretch higher in the near term.
The renewed selling pressure surrounding the US Dollar (USD) helped GBP/USD gain traction on Wednesday. Ahead of Friday’s highly-anticipated Nonfarm Payrolls data, the disappointing private sector employment reading, which showed an increase of 37,000 in May, weighed on the USD on Wednesday. Read more…
GBP/USD remains below 1.3550 as US Dollar recovers ground, signals a technical correction
GBP/USD retraces its recent gains from the previous session, trading around 1.3550 during the Asian hours on Thursday. The pair depreciates as the US Dollar (USD) gains ground amid a technical correction. The downside of the pair could be limited as the Greenback may receive downward pressure from dampened risk sentiment amid rising tariff uncertainty and its potential to hurt growth in the US economy.
Institute for Supply Management’s (ISM) Services Purchasing Managers Index (PMI) fell to 49.9 in May, from April’s 51.6. This reading surprisingly fell short of the expected 52.0. Meanwhile, US ADP private sector employment added 37,000 jobs in May, against a 60,000 increase (revised from 62,000) recorded in April, far below the market expectation of 115,000. Read more…
