GBP/USD & UK Manufacturing PMI: Sterling still looking for a catalyst
We start a busy week today with the UK manufacturing PMI at 08:30 GMT, where the analysts are expecting a decline from 53.3 to 52.1. September's release was positive, with an improvement to 53.3 from 48.3, while the August's event was slightly bearish, marking 48.2. However, overall readings for this indicator have been bullish and we could expect a slight bullish number for October.
Our technical analysis for GBP/USD at H1 chart is showing a bearish development, as the pair have been respecting the bearish trend line plotted from the September 22nd session's highs and eventually, a weaker-than-expected reading can drive us to test the support level of 1.2921, which was tested during September 26th session. However, if a bullish data comes today, a breakout above the 1.3012 level is highly possible and it could reach the 1.3050 level.