FXstreet.com (Barcelona) - The Pound has dropped from levels around 1.6345 to intra-day low at 1.6245 on the back of downbeat UK PMI and Consumer lending data. At the moment, the Pound trades at 1.6270, between 50 and 100 SMA on hourly charts.
Manufacturing activity has contracted again in August, after having grown in July for the first time this year, UK manufacturing PMI dropped to 49.7 in August from 50.2 in July, against market expectations of further recovery to levels around 52.00: PMI numbers show growth on sectors activity when above 50, and contraction otherwise.
Furthermore, consumer lending declined in July for the first time since records are collected, in 1993, according to data from the bank of England, consumer lending fell by GBP635 million in July from revised GBP225million increase in June.
At the moment , The Pound trades slightly above 1.62/45/55 intra-day low area, in case of further decline, next support levels could be 1.6185/00 (Aug 31 low) and 1.6155 (Aug 26 and 27 low). On the upside, the Pound could find resistance at 1.6330(Aug 31 high) and above here, 1.6380 (Aug 28 high), and 1.6400.