GBP/USD upside capped around 1.3300

The Sterling is clinging to its daily gains vs. the greenback, with GBP/USD navigating the 1.3270/80 band for the time being.

GBP/USD looks to PMI, NFP

Spot saw its upside accelerated on Thursday, advancing nearly 2 cents since daily lows in the 1.3120 area after UK’s Manufacturing PMI has come in above expectations during August. The up move, however, seems to have run out of vigour in the vicinity of 1.3320, where sits a retracement of the post-‘Brexit’ drop.

The upbeat tone around GBP remains alive today although the pair is trading in a more cautious fashion in light of the upcoming US Non-farm Payrolls (180K exp.). In the UK docket, Construction PMI is expected to have ticked higher to 46.1 during last month.

GBP/USD levels to consider

As of writing the pair is gaining 0.04% at 1.3274 and a breakout of 1.3321 (23.6% of the post-Brexit down move) would open the door to 1.3366 (high Aug.2) and then 1.3481 (high Jul.15). On the other hand, the immediate support lines up at 1.3193 (support line off July’s peak) followed by 1.2863 (low Aug.15) and finally 1.2849 (low Jul.11).