GBP/USD keeps lows near 1.2220 ahead of PMI

After bottoming out in the vicinity of 1.2210, GBP/USD has managed to recover some ground and retake the 1.2230/20 band.

GBP/USD looks to PMI

The pair is so far reverting two consecutive daily advances, as the greenback seems to trading on a firmer footing.

Spot has managed to gain over a cent on Monday, quickly climbing to the mid-1.2200s after dropping to the 1.2140 region during the European evening.

GBP found some respite after Governor M.Carney said on Monday he will step down in June 2019. Carney’s decision should collaborate with stability and continuity in the economy as the country unfolds its negotiation to leave the European Union.

Later in the session, UK’s manufacturing PMI for the month of October is expected to ease a tad to 54.5 from September’s 55.4. Across the pond, the US manufacturing sector will also be in the limelight, as Markit and the ISM will publish their gauges for the last month.

GBP/USD levels to consider

As of writing the pair is losing 0.17% at 1.2218 facing the immediate support at 1.2086 (low Oct.11) followed by 1.1450 (low post-‘flash crash’ Oct.7). On the other hand, a break above 1.2251 (high Oct.31) would aim for 1.2327 (high Oct.18) and finally 1.2377 (high Oct.11).