UK production and trade balance data

• The volume of industrial production in Great Britain (m / m),  fact  -0.4%, forecast 0.5%.
• The volume of manufacturing production in Great Britain (m / m),  fact 0.4%,  forecast  0.9%.
• The trade balance of Great Britain, the fact  -12.36V,  forecast  -12.00V.
• The trade  balance of the UK excluding EU countries,  fact  -3,49V, forecast  -3,70V.

The news block in the UK was very mixed, despite the reduction in the trade deficit in the revised data. The statistics for May remains weak, and the volume of production in the manufacturing industry in the UK is low, after the April collapse.

Fig. 1. Manufacturing production in the UK

 

In turn, the British pound remains under pressure of political risks after the resignation of several ministers. This has brought uncertainty to the fore about the security of the British political direction. This ambiguous report on the UK can be as a driver for the resumption of negative sentiment on the pound.

Thus, the pair GBP / USD was under pressure of correction, despite the safety of the uptrend. Support levels: 1.3200 and 1.3160, resistance: 1.3300 and 1.3350. Similar dynamics can be traced in crosses with a pound, where EUR / GBP and GBP / JPY deserve attention.

Fig. 2.  GBP / USD Chart. Current price – 1.3250

Read also: “British Pound (GBP) – Features of  Trading in Crosses”

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Hanzenko Anton