GBP/USD Daily Price Forecast – The Cable Lingers Near 1.3080 levels Ahead Of The UK Unemployment Data

After remaining consolidated in the last North American session, the GBP/USD took a 20 pips deep dive in the morning session. Somehow, the pair managed to recover the losses in the next trading hours.

On the other hand, the US 10-Year Yields headed nearing 2.55 percent deepening the plunge in the greenback. However, the US Dollar rebounded to the initial position of the day near 96.91 at around 06:00 GMT. A fall in the Dollar Index always adds to the credits in its rival currency pairs. Thereby, the GBP/USD saw a 0.15 percent upside undermined the greenback fall.

Brexit headlines remain muted as the House enjoys the Easter Recess. Nevertheless, disagreements between opposition parties continued. In the meanwhile, talks revealed that the lawmakers would try hard to ratify a deal before the EU elections. Hence, the parties would focus on resolving, to the earliest, the Corbyn appealed controversy of the Customs Unions.

Key GBP/USD Impacting Events Scheduled For Today:

08:30 GMT

The National Statistics will come up with three relevant and significant GBP events as follows:

• The ILO February 3M Unemployment Rate – The rate is simply the ratio of the unemployed numbers to the total civilian labor count. Hence, a higher number can hurt GBP/USD. However, the market call for an inline expectation with the prior 3.9 percent.
• Claimant March Count Change – These numbers would focus on the number of unemployed members in the UK. And, the street analyst believes the figures to report around 7K less to the previous 27K.
• UK Feb Average Earnings Excluding Bonus (3Mo/Yr) – This index measures the positive change in the basic pay of the UK employees. On these Feb figures, the consensus put forth an in-line stance around the previous 3.4 percent.

13:15 GMT

The greenback may experience some upward push after the release of the March MoM Industrial Production figures. The analysts are bullish on these numbers and expect a 0.2 percent compared to the last 0.0 percent.

Technical Analysis

In the near term, a bearish trend may follow, as the cable lies below the 21-day Simple Moving Average (SMA) and 55-day SMA. However, the GBP/USD traded slightly above the significant 200-day SMA showcasing a bullish stance on the pair’s future actions. Adding to this, the similar movements in the Relative Strength Index (RSI) confirms the call.

The pair if broken the 100-day SMA (near 1.3100 level), would face the strong resistance of 1.3120 level. On the flipside, robust support lines lie near 1.3080, 1.3065 and 1.3049 levels.