/GBP/USD analysis: nearing 1.4000 on dollar’s continued advance | by Author: | FXStreet

GBP/USD analysis: nearing 1.4000 on dollar’s continued advance | by Author: | FXStreet

GBP/USD Current price: 1.4031 UK consumer credit rose, but the housing sector slowed, as mortgage approvals decreased. GBP/USD bearish extension expected below the 1.3980 region . The GBP/USD pair ends the day near a daily low of 1.4010, as broad dollar’s strength coupled with soft UK data. The UK Q4 GDP was confirmed at 0.4%, while the annual rate of growth resulted as expected at 1.4%. Business investment for the same period was revised higher, up 0.3% in the three months to December. February figures showed that during the month, consumer credit rose, although mortgage approvals fell, indicating a slowing housing market. London market will remain closed this Friday, with no macroeconomic releases scheduled in the kingdom. Technically, the 4 hours chart favors a downward continuation, as the pair broke below a  daily ascendant trend line coming from March 8th low at 1.3781, while in the same chart , technical indicators remain well into negative territory, although the Momentum turned higher, rather a consequence of decreasing volumes than a sign of an upcoming upward correction. The 1.3980 region is a major static support, as the pair has there multiple intraday highs and lows, which means that a break below it most likely discourage bulls and open doors for further slides. Support levels: 1.4010 1.3985 1.3940 Resistance levels: 1.4060 1.4110 1.4150 View Live Chart for the GBP/USD