GBP/USD is expected to trade with a bullish outlook. The pair is clearly in an upward trend, backed by its rising 20-day moving average. A strong support has formed around 1.3335, which should limit any downside room. Furthermore, the relative strength index is on the upside, without showing any reversal signal. Hence, as long as 1.3335 is not broken, likely advance to 1.3425 and 1.3460 in extension.
Fundamental Overview: Earlier today UK construction PMI remain came out at 52.2, unchanged U.K. construction PMI for May has left the pound largely unchanged as well. The details of the survey revealed commercial activity growth accelerated to a three-month high in May, but showed softer expansions in residential and civil engineering activity, according to the release. New order books meanwhile contracted for the fourth time in the past five months amid general uncertainty in the sector.
Chart Explanation: The black line shows the pivot point. Currently, the price is above the pivot point which is a signal for long positions. If it remains below the pivot point, it will indicate short positions. The red lines show the support levels, while the green line indicates the resistance levels. These levels can be used to enter and exit trades.
Resistance levels: 1.3425, 1.3460, 1.3500
Support levels: 1.3335, 1.3310, 1.3285
