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GBP/USD takes back losses

FXStreet (Mumbai) - The GBP/USD pair has recovered from the low of 1.5207 seen post the UK trade deficit data, to trade at 1.5334 levels; up 0.05% for the day.

Back above 50-DMA

The pair has recovered to trade above the 50-DMA located at 1.5325 levels ahead of the US Non-farm payrolls data. Moreover, the pair has recovered the losses seen after the release of the record high UK goods trade deficit figure earlier today. Thus, the pair may make another attempt at the session high of 1.5342 levels.

The British Pound may extend gains if the Non-farm payrolls data in the US shows a sharp slowdown in the pace of job additions in January.

GBP/USD Technical Levels

The immediate support is located at 1.5260, under which losses could be extended to 1.5220 levels. On the flip side, resistance is seen at 1.5325 (50-DMA) and 1.54 levels.

GBP/USD could face resistance around 1.5350 levels – EW-Forecast

Gregor Horvat of EW-Forecast, uses Elliott Wave Analysis, to give the technical outlook for cable.
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