GBP/USD regains 1.3200

GBP/USD inched lower during the European session but managed to find support at the 1.3160 area, and it has been in recovery mode over the last hours.

The pound came under pressure following UK Markit’s manufacturing PMI, which came in at 48.2 vs. 49.1 expected in July. However, disappointing US ISM mfg PMI and construction spending data, weighed on the greenback and allowed a GBP/USD mild comeback. At time of writing, GBP/USD is trading at 1.3208, still 0.15% below its Friday’s close.

GBP/USD levels to watch

In terms of technical levels, next resistances are seen at 1.3271 (Aug 1 high),  1.3300 (Jul 29 high/psychological level), 1.3315 (Jul 18 high) and 1.3480/82 (Jul 15 high/Jun 27 high). On the flip side, immediate supports could be found at 1.3134 (20-day SMA), 1.3056 (Jul 26 low) and 1.2970 (Jul 12 low).