GBP/USD keeps the red, just below mid-1.3200s post-UK PMI

   “¢   Retreats further from seven-month tops amid a follow-through USD uptick.
   “¢   UK PMI matches consensus estimates but does little to provide any impetus.
   “¢   Focus shifts to the US economic data for some meaningful trading opportunities.

The GBP/USD pair remained under some selling pressure for the second consecutive session and had a rather muted reaction to the latest UK manufacturing PMI.  

With investors looking past the latest optimism over a possible delay to the fast-approaching Brexit deadline of March 29, the pair extended its retracement slide from mid-1.3300s, or seven month tops set on Wednesday, and lost some additional ground through the early European session on Friday.

A goodish pickup in the US Dollar demand, supported by the previous session’s unexpectedly strong Q4 GDP growth figures and upbeat Chicago PMI, was seen as one of the key factors prompting some profit-taking slide, given the recent upsurge of over 350-pips since last Friday.

In absence of any fresh Brexit news/developments, the pair held on to the defensive below mid-1.3200s and moved little following the inline release of UK manufacturing PMI, coming in at a four-month low level of 52.0 in February as compared to the previous month’s reading of 52.8.

With today’s UK data out of the way, market participants now look forward to the US economic docket, featuring the release of personal income/spending data, ISM manufacturing PMI and revised UoM Consumer Sentiment index, in order to grab some short-term trading opportunities on the last trading day of the week.  

Technical levels to watch