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2 Jun 2015
GBP/USD rejected at 1.5250
FXStreet (Mumbai) - GBP/USD paused its upward rally and eased-off highs in the mid-European session, having faced rejection near 1.5250 levels. The major rallied beyond 1.52 handle as traders cheered above estimates construction PMI and mortgage approvals numbers, providing a much-needed impetus to the pound.
GBP/USD supported at 1.5200
The GBP/USD pair 0.22% higher at 1.5234, heading towards 1.5247 session highs. The cable climbed higher this session after a survey tracking the development in the UK's construction arena beat estimates, while the latest report from the Bank of England (BOE) showed that mortgage approvals hit a 14-month high.
Mortgage approvals in the UK rose sharply in April, hitting the highest level in 14 months, standing at 68,076. Markit Economics said the UK construction PMI booked 55.9 in May, following the 54.2 seen in April. Markets had anticipated an upturn to 55.0.
Moreover, broad based US dollar sell-off also contributes to the upside in the GBP/USD pair. The US dollar index, measuring the relative strength of the greenback against a basket of six major currencies, trades -0.34% lower at 97.20.
Later in the day, markets will focus on the factory orders and economic optimism data from the US for further momentum.
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 1.5181 (Today’s Low) below which it could extend losses to 1.5162 levels.
GBP/USD supported at 1.5200
The GBP/USD pair 0.22% higher at 1.5234, heading towards 1.5247 session highs. The cable climbed higher this session after a survey tracking the development in the UK's construction arena beat estimates, while the latest report from the Bank of England (BOE) showed that mortgage approvals hit a 14-month high.
Mortgage approvals in the UK rose sharply in April, hitting the highest level in 14 months, standing at 68,076. Markit Economics said the UK construction PMI booked 55.9 in May, following the 54.2 seen in April. Markets had anticipated an upturn to 55.0.
Moreover, broad based US dollar sell-off also contributes to the upside in the GBP/USD pair. The US dollar index, measuring the relative strength of the greenback against a basket of six major currencies, trades -0.34% lower at 97.20.
Later in the day, markets will focus on the factory orders and economic optimism data from the US for further momentum.
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 1.5181 (Today’s Low) below which it could extend losses to 1.5162 levels.