GBP/USD: Upbeat UK services PMI may rescue the bird
The sell-off in the bird appears to have stalled around 1.2930 levels in line with the oversold intraday indicators.
UK services PMI for September is likely to show the pace of expansion in the activity slowed somewhat,
however, note that both manufacturing and construction PMI bettered estimates. Hence, the odds of a blow out services PMI number are high.
Pound could revisit hourly 50-MA level located at 1.28 levels if the service PMI beats estimates.
Furthermore, IMF has come up with a bearish call on Pound, saying the bird may drop on Brexit reality. The fund is known to lag markets big time and hence one is compelled to think the currency may have hit a short-term bottom.
However, don’t get too optimistic as we have US ISM non-manufacturing report and ADP report due for release later in the day. It is worth mentioning that major support on the downside is seen directly around 1.2590.
UK services PMI for September is likely to show the pace of expansion in the activity slowed somewhat,
however, note that both manufacturing and construction PMI bettered estimates. Hence, the odds of a blow out services PMI number are high.
Pound could revisit hourly 50-MA level located at 1.28 levels if the service PMI beats estimates.
Furthermore, IMF has come up with a bearish call on Pound, saying the bird may drop on Brexit reality. The fund is known to lag markets big time and hence one is compelled to think the currency may have hit a short-term bottom.
However, don’t get too optimistic as we have US ISM non-manufacturing report and ADP report due for release later in the day. It is worth mentioning that major support on the downside is seen directly around 1.2590.
