GBP/USD hovers around 200-DMA, back below 50-DMA

By FXStreet FXStreet (Mumbai) – The GBP/USD trimmed gains to trade around its 200-DMA located at 1.5335. The spot tested 50-DMA and 10-DMA before trimming gains.

USD regains poise

The US dollar is taking back the losses suffered in early Europe. The cable rose to a high of 1.5359 and took out 50-DMA at 1.5349 and 10-DMA at 1.5359 for a brief moment, before the USD regained composure.

The UK data docket is empty, which leaves the pair at the mercy of the movement in the EUR/GBP cross (post EZ CPI inflation). Later in the day, the US personal spending and income report could affect overall demand for the US dollars.

GBP/USD Technical Levels

The immediate resistance is located at 10-DMA at 1.5356, above which the gains could be extended to 1.5387 (Oct 13 high) and 1.54 levels. On the other side, 5-DMA at 1.5306 could offer support followed by a major support at 1.5248 (50% of Apr-Jun rally).
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Source:: FX Street