GBPUSD appreciates further and reaches session highs near 1.1400


  • The pound rallies 1.9% on the day to close the week near 1.1400.
  • US unemployment and wage inflation data hit the dollar.
  • The pound has shrugged off post-BoE's bearish pressure.

 

The pound has continued appreciating during Friday’s US afternoon trading, buoyed by the broad-based USD weakness, to reach session highs at 1.1380.

The pair has shrugged off the previous day’s negative pressure on Friday, to perform a shocking 1.9% daily rally after bouncing from the lower range of the 1.1100s to close the week a few pips shy of 1.1400.

US unemployment grows with salaries slow down

Despite a brilliant Non-Farm Payrolls reading, the US unemployment rate and wage inflation data have shown the first signs of easing in the US labor market, which has tamed expectations of further aggressive tightening by the Federal Reserve and punished the US dollar.

Non-Farm employment has increased above expectations in October, showing a 261K reading, beating the 200K consensus, while September’s reading has been revised to a 315K increment from the 264K previously estimated. The unemployment rate, however, has increased to 3.7% from 3.5% in September, and the hourly wages have slowed down to 4.7% from 5%.

The pound has pared previous losses after having gone through one of its worst weekly performances in the last months. The dovish hike by the Bank of England on Thursday when BoE President Bailey signaled a softer tightening pace over the next months after delivering a 0.75% hike, triggered a broad-based pound sell-off.

Technical levels to watch

GBP/USD

Overview
Today last price 1.1374
Today Daily Change 0.0210
Today Daily Change % 1.88
Today daily open 1.1164
 
Trends
Daily SMA20 1.131
Daily SMA50 1.1346
Daily SMA100 1.1703
Daily SMA200 1.2325
 
Levels
Previous Daily High 1.1422
Previous Daily Low 1.1152
Previous Weekly High 1.1646
Previous Weekly Low 1.1258
Previous Monthly High 1.1646
Previous Monthly Low 1.0924
Daily Fibonacci 38.2% 1.1255
Daily Fibonacci 61.8% 1.1319
Daily Pivot Point S1 1.107
Daily Pivot Point S2 1.0975
Daily Pivot Point S3 1.0799
Daily Pivot Point R1 1.134
Daily Pivot Point R2 1.1517
Daily Pivot Point R3 1.1611

 

 

 

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