GBP/USD clinches tops near 1.3380 post-PMI

• Cable gathers extra traction to the 1.3380 level post-PMI.
• USD weakness also supporting the up move in spot.
• UK’s Services PMI came in at 54.0 in May, surpassing estimates.

The British Pound is picking up extra pace on Tuesday and is now pushing GBP/USD to fresh tops in the 1.3380 region.

GBP/USD bid on USD, data

Cable reached the 1.3380 region, or session peaks, after UK’s Services PMI surprised markets to the upside in May, coming in at 54.0 vs. 53.0 initially forecasted.

In addition, the buck resumed the downside after some initial optimism and is now flirting with session lows in sub-94.00 levels.

In the meantime, the pair is prolonging the rebound from last week’s fresh cycle lows in the 1.3200 neighbourhood, advancing in four out of the last five sessions and meeting a tough hurdle in the 1.3400 area for the time being.

GBP/USD levels to consider

As of writing, the pair is gaining 0.48% at 1.3377 facing the initial resistance at 1.3398 (high Jun.4) seconded by 1.3457 (low Jan.11) and then 1.3585 (200-day sma). On the other hand, a break below 1.3318 (10-day sma) would expose 1.3205 (2018 low May 23) and finally 1.3039 (low Nov.3 2017).