Forex: GBP/USD moves higher to 1.5573/75 after UK PMI

FXstreet.com (Barcelona) - The GBP/USD has remained in a fairly even consolidation during European trading Thursday, despite a clear recovery this week. With the recent release of economic data in the United Kingdom, the pair is now trading near positively at 1.5574/75.

According to the Technical Analyst Team at ICN.com, “The resistance level at 1.5590 managed to halt the upside move, as we find linear regression indicators offered a negative crossover and in particular, the linear regression indicator 34 also is biased negatively. Therefore, the bearish correction might extend today unless the price stabilizes above 1.5610.”

In the United Kingdom, PMI Construction in April came in at 49.4, against a consensus of 48.0, and compared with a figure of 47.2 previously.

“The GBP/USD posts new recovery high and tested the critical resistance at 1.5606, while a closing break above this would open 1.5689 – support is at 1.5468 supporting a clearly bullish intraday outlook.” notes the UBS Research Team.