GBP/USD in highs near 1.2360 post-PMI, BoE next

The Sterling keeps its buoyancy intact on Thursday, with GBP/USD hovering over the 1.2350 area ahead of the ‘Super-Thursday’.

GBP/USD looks to the BoE, High Court

The pair remains firm above the 1.2300 handle, supported at the same time by the positive results from Markit’s Services PMI for the month of October, coming in at 54.5 vs. 52.4 forecasted and September’s 52.6.

Ahead in the day, Cable’s recent upside momentum will be put to the test in light of the BoE’s monetary policy meeting, the key Quarterly Inflation Report and the High Court ruling on the involvement of the Parliament on triggering Article 50.

In the US data space, the usual weekly report on the US labour market is due followed by Markit’s Services PMI, the ISM Non-manufacturing and Factory Orders during September.

GBP/USD levels to consider

As of writing the pair is gaining 0.45% at 1.2361 facing the next resistance at 1.2377 (high Oct.11) followed by 1.2585 (2-month resistance line) and finally 1.2791 (55-day sma). On the other hand, a breach of 1.2086 (low Oct.11) would open the door for a test of 1.1450 (low post-‘flash crash’ Oct.7).