GBP/USD & UK Services PMI: Where will we see the top on Sterling?
Today at 08:30 GMT will be published the UK services PMI and analysts are expecting a somehow of increase from 47.4 to 49.1. As that indicator had been posting numbers below the 50.0 levels, we're in front of a contraction in the industry expansion. June and July's readings showed a 47.4 data. With the current “improvement” forecast, GBP pairs should have some strength during today's session, which is expected to be slow due to the Labour day in the United States.
The technical analysis for GBP/USD at H4 chart is showing that the pair is following a bullish trend line from the August 15th low. A consolidation above the support zone of 1.3260 is showing a higher high pattern formation below a strong sellers area at the 1.3355 level. Remind that the Cable consolidated gains above the 200 SMA during last week and a good data from the UK services PMI can push it to test the 1.3424 level.