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GBP/USD testing 1.5250, UK data in focus

FXStreet (Mumbai) - GBP/USD advanced in the early European morning, staging a strong come-back after dipping to 1.5198 levels yesterday.

Rises on upbeat NIESR review

The GBP/USD pair trades higher by 0.19% on the day at 1.5246 levels, in another run to retest 1.5250 levels. GBP/USD remained lifted as traders continue to cheer National Institute of Economic and Social Research’s (NIESR) economic review after it revised its forecast for UK GDP growth in 2015 significantly upward to 2.9%, from the 2.5% it expected in November last year. Moreover, a weaker US dollar across the board also supported the cable.

Meanwhile, markets now focus on the upcoming UK factory output numbers later in the session for further momentum on the pair. The UK manufacturing sector is expected to have decelerated to 0.1% in December after a strong rebound of 0.7% in November.

GBP/USD Levels to consider

The pair has an immediate resistance at 1.5274 above which gains could be extended to 1.5300 levels. On the flip side, support is seen at 1.5213 below which it could extend losses to sub 1.5198 levels.

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