GBP/USD has been in a corrective structure and still has not provided any hint for upcoming moves of this pair. Today GBP Manufacturing Production report was published. It came negatively at -0.1% which was expected to be at 0.3%. Goods Trade Balance report was also published at -12.5B which was expected to be at -10.9B and as of the BREXIT Bank of England Governor Carney today spoke about short-term interest rate and monetary policy which was in negative bias for the currency. On the other hand, USD has Non-Farm Employment Change report to be published which is expected to be at 174k, previously which was at 235k. Unemployment Rate is expected to remain unchanged at 4.7% and Average hourly Earnings is also expected to be unchanged at 0.2%. Overall, GBP is expected to be much weaker in the coming days and this weekly close will determine the upcoming movement in this pair.
Now let us look at the technical view, the price is still above the support area of 1.2350 to 1.2410. As of maximum volatility in this pair and corrective structure ahead of NFP, we will be looking forward for a daily close below the support area to enclose much lower moves in this pair towards 1.2200 or else a break above the resistance area 1.2500-50 will open the upward moves towards 1.2730. A daily close today will signal the upcoming moves in this pair. It is expected that the bears have higher chances to take over in this pair after the USD events.
