On Friday the GBP/USD pair was moving actively down amid the publication of statistics for March on US labour market. However, it should be noted that the data was quite mixed.
In particular, Nonfarm Payrolls increased by 215K, lower than 245K in February but exceeding the forecast of 205K. Unemployment Rate was up by 0.1% and reached the key level of 5.0% while no changes were expected.
At the same time, ISM Manufacturing PMI grew from 49.5 to 51.8 points against the forecast of 50.7 points. ISM Prices Paid was up to 51.8 from 38.5 points.
Support and resistance
on the continues its flat dynamics. The price range shows almost no changes and remains wide enough for the current . is falling and keeping a moderate sell signal. is moving down in the middle of the range.
The indicators recommend waiting for clearer trading signals.
Support levels: 1.4200, 1.4117, 1.4056 (24 March low), 1.4000 (strong psychological level near early march levels), 1.3914.
Resistance levels: 1.4241, 1.4300, 1.4350, 1.4394 (31 March level), 1.4435, 1.4461 (30 March high), 1.4513 (18 March high).
Long positions can be opened after the price breaks out the level of 1.4300 with targets at 1.4435, 1.4461 and stop-loss at 1.4240. Validity – 2-4 days.
Short positions can be opened after the price breaks down the level of 1.4200 with targets at 1.4100, 1.4056, 1.4000 and stop-loss at 1.4250, 1.4260. Validity – 2-4 days.