Data on employment in the UK

In total, the report on employment in the UK was very positive, if do not take into account the revised data for the past month on applications for benefits. The very report on employment in the UK was perceived very restrained, and in some cross-rates with the British pound even in negative way.

Given the slowdown in the UK’s labor market in recent years, indicators with a wage growth rate of 2.2% and the number of unemployment benefits that remain very high, the UK labor market holds down potential and cause fear.

As a result, the pair GBP/USD accelerated the decline after growth at the beginning of the day. This is with the general weakness of the US currency, thereby indicating the preservation of the lateral trend, which is traced for the second month. Support levels: 1.3140 and 1.3080, resistance levels: 1.3220 and 1.3250.

The pound’s dynamics in the EUR/GBP cross-rate remains more negative, thereby confirming the Cross-rates signals: cross EUR/GBP works off the figure of “double bottom”.

Hanzenko Anton