GBP/USD recovery stalled near 1.2180

GBP/USD is now trading amidst increasing choppiness following the release of the UK’s Spring Budget and key US ADP figures.

GBP/USD supported at 1.2140

Spot managed to gather some attention after UK’s Chancellor P.Hammond revised up the forecasts for this year’s GDP and inflation figures, adding that the deficit in 2017 will be around 2.6% of GDP.

The pair’s bullish attempt run out of steam in the 1.2180 region in response to better-than-expected US ADP results, showing the private sector added nearly 300K jobs in February, crushing estimates at 190K and up from January’s 261K (revised from 246K).

In the broader picture, GBP stays under pressure in light of the resurgence of Brexit jitters after another setback for the Government at the Upper House on Tuesday. The House of Commons should now discuss the proposed amendments, while the initial idea of PM Theresa May to trigger Article 50 later in the month could now be compromised.

GBP/USD levels to consider

As of writing the pair is losing 0.18% at 1.2177 facing the next support at 1.2140 (low Mar.7) followed by 1.2036 (low Jan.11) and then 1.1979 (2017 low Jan.16). On the flip side, a breakout of 1.2253 (high Mar.7) would aim for 1.2302 (high Mar.6) and finally 1.2382 (55-day sma).