The Pound trades slightly below the 1.30387 support level as investors await the U.K's Manufacturing PMI figure. Market participants would like to see if the U.K economy will continue to boast strong economic results allowing for another BoE rate hike some time soon. Investors also need to keep an eye on any developments related to Brexit as it is the most important catalyst affecting the pair. Additionally, the pair will also be driven by key economic data from the U.S today with the ISM Manufacturing PMI taking headline.
The Pound trades below the 1.30387 setting the stage for a drop towards 1.29500 unless the pair retreats back above 1.30387 following a better than expected U.K Manufacturing PMI result. For now, momentum remains bearish given that prices continue to trade below the 200-period moving average
Support: 1.30387 1.29500
Resistance: 1.31513 1.32017