For the 24 hours to 23:00 GMT, the GBP declined 0.61% against the USD and closed at 1.3007, after the IMF slashed its global economic outlook for 2020 and 2021. However, the IMF left UK’s economic growth forecast unchanged for this year and next; but warned that the outlook would depend on Britain’s ‘orderly exit’ from the European Union. The UK economy is expected to grow by 1.4% this year and 1.5% in 2021. Additionally, the IMF forecasted that the British economy will grow faster than the Euro-zone in the first two years after Brexit.
In the Asian session, at GMT0400, the pair is trading at 1.3012, with the GBP trading slightly higher against the USD from yesterday’s close.
The pair is expected to find support at 1.2978, and a fall through could take it to the next support level of 1.2944. The pair is expected to find its first resistance at 1.3030, and a rise through could take it to the next resistance level of 1.3048.
Trading trend in the Pound today is expected to be determined by UK’s ILO unemployment rate and average earnings including bonus, both for November, slated to release in a few hours.
The currency pair is trading between its 20 Hr and 50 Hr moving averages.
