For the 24 hours to 23:00 GMT, the GBP declined 5.97% against the USD and closed at 1.2250.
On the data front, UK’s ILO unemployment rate unexpectedly dropped to 3.9% in three months ended March, compared to 4.0% in the previous month. Meanwhile, average earnings including bonus climbed 2.4% on an annual basis in the three months ended March, less than market forecast for a rise of 2.7%. In the prior month, average earnings had recorded a rise of 2.8%.
In the Asian session, at GMT0300, the pair is trading at 1.2259, with the GBP trading 0.07% higher against the USD from yesterday’s close.
The pair is expected to find support at 1.2197, and a fall through could take it to the next support level of 1.2134. The pair is expected to find its first resistance at 1.2309, and a rise through could take it to the next resistance level of 1.2358.
Moving forward, traders would keep a watch on UK’s consumer price index, the retail price index and the producer price index, all for April, slated to release in a few hours.
The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
