GBP/USD sits at session tops, around mid-1.3500s ahead of ADP

   •  USD fails to build on overnight recovery move.
   •  UK services PMI provides an additional boost to GBP.
   •  US ADP report eyed for fresh trading opportunities.

The GBP/USD pair continued gaining some positive traction through the mid-European session and refreshed session tops in the last hour of trading.

A fresh wave of US Dollar selling bias, despite perceived hawkish FOMC meeting minutes and a goodish pickup in the US Treasury bond yields, remained supportive of the pair's strong up-move on Thursday.

The British Pound got an additional boost from today's surprisingly better-than-expected UK services PMI, which rose to 54.2 in December as compared to 53.8 in November and expected.

The pair has now reversed around 50% of previous session's corrective slide and is currently holding with gains marginally above mid-1.3500s as traders await the release of US private sector employment details - ADP report, for some fresh impetus. 

Technical outlook

Valeria Bednarik, American Chief Analyst at FXStreet writes: "Yesterday's decline seems corrective, as technical readings in the 4 hours chart suggest that the pair is poised to extend its advance, as it recovers ground above a bullish 20 SMA, while technical indicators bounced from their mid-lines, gaining upward traction. The current 1.3540/50 region has proved to be a strong resistance in the past, which means that additional gains from here, could result in the pair retesting the weekly high at 1.3612, en route to 1.3653, 2017 high, should the dollar come under selling pressure. Below 1.3500, on the other hand, the risk turns towards the downside, with 1.3460 and 1.3420 as the next intraday supports."