Data on industrial production in the UK

According to the published data:

• Industrial production grew in January by 1.3%, against the decline in the previous period at the level of -1.3%. On an annualized basis, the growth rate was 1.6%, exceeding the previous value of 0.0%.
• Production in the manufacturing industry grew by 0.1%, which is lower than the previous value of 0.3%. In its turn, the annual growth rate was 2.7%, exceeding the previous value of 1.4%.

Despite the relatively positive statistics, the pound continues to trade in a narrow range against the US dollar, due to the continuing uncertainty about Brexit, as well as the expectation of data on employment in the US.

Technical analysis: The GBP/USD pair keeps a downtrend in the short term. The main resistance levels are 1.3855, 1.3910. The support levels are the marks 1.3755, 1.3710.

Key recommendations: Against the backdrop of continuing uncertainty about the Brexit issue, for the GBP/USD pair, both purchases and sales from the above support and resistance levels can be considered. Entry to the position will be more secure after the publication of data on employment in the United States. The profit potential on these deals is 50-90 points.

Fig. GBP/USD. The current price is $ 1.3811.

Alexander Sivtsov