Current trend
Steady growth of the British currency against the USD is slowing down. At the beginning of the week the pair gained over 100 points amid favourable statistics on the British PMI. Additional support to the pair was provided by the negative data on the key US indices.
Today the pair continues to go up by inertia and due to support from the positive data on the British construction sector. However, it is worth noting that despite positive fundamental data the pair is not moving up very quickly, which means that in the near future the pair may undergo correction.
Economic calendar shows that today the data on US manufacturing orders will be known, which is expected to be negative, and Janet Yellen will make a speech. If her speech will be pessimistic, the pair GBP/USD can go to the levels of 1.7200 and 1.7250 and then will undergo the correction with the target of 1.7060. In the medium-term the pair is likely to continue the rise to the target level of 1.7300, especially, if the Bank of England launches monetary policy tightening or the rise of the key interest rates.
Support and resistance
Support levels: 1.7150, 1.7060, 1.7000, 1.6850 and 1.6810.
Resistance levels: 1.7200, 1.7250, 1.7300 and 1.7360.
Trading tips
In the current situation it makes sense to trade in accordance with the trend, placing pending buy orders from the levels of 1.7060 and 1.7000 with taking profit at the level of 1.7300.

Dmitry Likhachev
Analyst of LiteForex Investments Limited