GBPUSD Bulls struggled to maintain their dominant position, with a modest US Dollar rebound, amid easing US-China trade tensions, prompting some fresh selling near the 1.4100 supply zone. Meanwhile, what fresh impetus has been proved by the just-released UK’s Services PMI? Gain insight in this 5 April GBPUSD Fundamental Outlook.
5 April, OctaFX – The Sterling saw its selling pressure accelerate on Thursday following the release of March’s Services PMI, dragging GBP/USD to fresh daily lows in the 1.4040 region.
GBP/USD weaker on data
Cable is losing further momentum today after UK’s Services PMI came in below initial forecasts at 51.7 for the month of March and lower than February’s 54.5 reading.
After four sessions in a row posting gains, the pair has now faced some selling pressure while gains appear so far limited in the 1.4100 neighborhood, always amidst a persistent risk-on context and a stronger greenback.
Looking ahead, US Initial Claims and February’s Trade Balance figures will be the salient events in the US docket, ahead of tomorrow’s more relevant Non-farm Payrolls.
5 April GBPUSD Fundamental Outlook
As of writing, the pair is losing 0.28% at 1.4041, and a break below 1.4024 (21-day SMA) would expose 1.4009 (low Mar.3) and then 1.3886 (low Mar.16). On the other hand, the next hurdle emerges at 1.4097 (high Apr.4) seconded by 1.4246 (high Mar.26) and finally 1.4280 (high Feb.2).
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