- The dollar rises marginally after the US ISM services PMI.
- GBP/USD falls to 1.1960 and bounces towards 1.2000.
- The pair remains sideways around the 20-week SMA.
The pair GBP/USD it fell to 1.1960 after the release of the US ISM Service PMI and then bounced. The pair continues to move sideways, near 1.2000, practically sideways on the week.
US data lifts dollar modestly
The last release of the week was the US ISM Services PMI for February, which came in at 55.1, down from January’s 55.2, and slightly above the market consensus of 54.5. The subcomponent of the Prices Paid Index fell from 67.8 to 65.6 points, above the forecasts that pointed to a drop to 64.5 points. The Employment Index rose to 54, against expectations for a decline to 49.8.
The numbers gave the dollar a boost, but price action remained subdued on Friday, with major pairs consolidating. The dollar moves with a positive intraday bias supported by a rebound in US yields. The US 10-year yield rose from 3.97% to 4.02%.
GBP/USD moves away from the highs and moves in a range above 1.1900. It is trading marginally higher on the week, hovering around the 20-week SMA. A firm break below 1.1900 would open the door for further losses.
While to the upside, immediate resistance emerges at 1.2055 (20-day SMA) followed by the 1.2150 zone. A break above this area would clear the way to 1.2200 and higher.
technical levels
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
