For the 24 hours to 23:00 GMT, the GBP rose 0.10% against the USD and closed at 1.2299, after a final Brexit draft was offered to the European Union by UK Prime Minister Boris Johnson.
Data showed that UK’s construction PMI unexpectedly declined to a level of 43.3 in September, marking its lowest level since June 2006 and defying market expectations for an unchanged reading. In the previous month, the PMI had registered a reading of 45.0.
In the Asian session, at GMT0300, the pair is trading at 1.2300, with the GBP trading a tad higher against the USD from yesterday’s close.
The pair is expected to find support at 1.2243, and a fall through could take it to the next support level of 1.2187. The pair is expected to find its first resistance at 1.2340, and a rise through could take it to the next resistance level of 1.2381.
Going forward, traders would keep an eye on UK’s Markit services PMI for September, set to release in a few hours.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
