Cable slides as UK Construction Output contracts in October

FXStreet (Mumbai) - Cable declined against the US counterpart, erasing four consecutive days of gains after UK construction activity dropped more than forecasts.

The GBP/USD pair trades lower at 1.5704 levels, down -0.17%, compared to previous session’s close of 1.5732 levels. The pound retreats after construction output data showed a decline of -2.2% in October, against an estimated rise of 0.8% after the 1.8% increase in September.

GBP/USD Levels to consider

The pair has an immediate resistance at 1.5744 (Dec 2 High), above which gains could be extended to 1.5765 (Dec 1 High) levels. On the flip side, support is seen at 1.5723 (10-day SMA), below which it could extend losses to 1.5703 (50-day SMA) levels.

UK Construction output declined in October

The data released by the UK Office for National Statistics (ONS) showed the construction output contracted by 2.2% in October compared with September. Year-on-year the output showed a growth for the 17th consecutive month by increasing 0.7%.
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