Pound Trading Lower, Ahead Of Britain’s Total Trade Balance Data
For the 24 hours to 23:00 GMT, the GBP fell 0.13% against the USD and closed at 1.4413.
In economic news, UK’s Halifax house price index declined more-than-expected by 0.8% MoM in April, compared to a revised rise of 2.2% in the previous month. Market anticipation was for the index to ease 0.3%.
In the Asian session, at GMT0300, the pair is trading at 1.4396, with the GBP trading 0.11% lower from yesterday’s close.
Overnight data showed that Britain’s BRC retail sales monitor surprisingly fell by 0.9% YoY in April, its biggest drop since August 2015, compared to market expectations for a rise of 0.5%. In the previous month, retail sales across all sectors had dropped 0.7%.
The pair is expected to find support at 1.4354, and a fall through could take it to the next support level of 1.4311. The pair is expected to find its first resistance at 1.4460, and a rise through could take it to the next resistance level of 1.4524.
Going ahead, market participants will look forward to UK’s total trade balance data for March, scheduled to release in a few hours.
The currency pair is showing convergence with its 20 Hr moving average and is trading below its 50 Hr moving average.