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15 May 2015
GBP/USD sees minor recovery to 1.5730
FXStreet (Mumbai) - The GBP/USD pair witnessed a minor recover to 1.5730-1.5740 band after the data released in the US showed industrial output declined for the fifth consecutive month in April.
Recovery capped at 1.5740
The recovery lacked momentum since the pair is struggling to extend gains over and above 1.5740 levels. A minor recovery from the pre-data level of 1.5715 was triggered by a 0.3% contraction in US industrial production in April.
However, the USD appears resilient across the board. Moreover, the USD was sold aggressively during the week and investors could be moving out of dollar shorts ahead of the weekend, thereby lending support to the USD.
GBP/USD Technical Levels
The pair currently trades at 1.5730. The immediate resistance is located at 1.5752 (hourly 50-DMA), above which gains could be extended to 1.5790-1.58. On the flip side, a break below 1.57 could see the pair fall to 1.5660 levels.
Recovery capped at 1.5740
The recovery lacked momentum since the pair is struggling to extend gains over and above 1.5740 levels. A minor recovery from the pre-data level of 1.5715 was triggered by a 0.3% contraction in US industrial production in April.
However, the USD appears resilient across the board. Moreover, the USD was sold aggressively during the week and investors could be moving out of dollar shorts ahead of the weekend, thereby lending support to the USD.
GBP/USD Technical Levels
The pair currently trades at 1.5730. The immediate resistance is located at 1.5752 (hourly 50-DMA), above which gains could be extended to 1.5790-1.58. On the flip side, a break below 1.57 could see the pair fall to 1.5660 levels.