GBP/USD catapults ahead of 1.5600 on robust PMI

FXstreet.com (Lisbon) - The GBP/USD exploded Wednesday morning during European trading, bulling its way over the 1.5600 barrier towards fresh highs.

In the United Kingdom, Markit Services PMI (August) came in at 60.5, beating expectation of 59.0, and compared with 60.2 previously.

GBP/USD strategic bias

According to the Technical Analyst Team at ICN.com, “The GBP/USD failed to consolidate below 1.5550 but remained within a tight range. Stochastic is showing a negative signal which might indicate that stabilizing below 1.5550 levels represented in 78.6% correction will trigger a bearish wave. Therefore, we hold on to our negative expectations that depend on breaking the referred to level.”

GBP/USD technical levels

In these moments the GBP/USD is now operating at 1.5611, securing an advance of +0.31% above its opening. Technically speaking, the GBP/USD is trading at resistance at 1.5612, a break of which will open up additional means of correction at 1.5654, and 1.5674, notes the Danske Research team.

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