The British pound rose to intraday highs against the dollar and the euro. A good report on the UK labor market pointed to higher earnings and continued low unemployment. Many experts did not expect that more jobs would be created in April than in March, nor did they expect that wages would maintain fairly high growth rates.

Along with this, wage growth may be a headache for the Bank of England, which also does not already know how to cope with a gradually increasing level of inflation, which can go beyond the established 2.0%.

According to ILO standards, the number of unemployed in the UK fell from February to April of this year by 34,000 at once, while the unemployment rate remained within the historic lows around 3.8%.

The good news for consumers was the increase in their average earnings, which increased from February to April of this year by 3.4%, after rising by 3.3% from December to February. Apparently, Brexit and problems with it were leveled by good economic growth rates. Applications for unemployment benefits in the UK in May this year increased by 23,200, and the unemployment rate was 3.1%.

As for the technical picture of the GBPUSD pair, buyers have managed to return to the market after yesterday's disappointing reports on economic growth rates in recent months. However, a small uptrend is limited by a large resistance level of 1.2730, breaking above which will be very difficult. The pressure on the pound will gradually increase, and the reduction under the intermediate support of 1.2690, which buyers do not want, may lead to the demolition of a number of stop orders and the continuation of the bearish trend aimed at the nearest support levels in the area of 1.2610 and 1.2560.

As for the data for the euro area, nothing interesting was published in the first half of the day, which left the technical curtain in the EURUSD pair unchanged. It is likely that the demand for risky assets will continue in the context of possible changes in the Fed's monetary policy. If we talk about the short-term forecast, support is seen at the level of 1.1290, while the breakthrough of intermediate resistance in the area of 1.1330 will lead to a larger upward trend of the trading instrument with updating highs in the areas of 1.1370 and 1.1430.

Data on the confidence of small business owners in the US has also been ignored by the market. In May of this year, confidence has increased slightly compared with April. According to the report of the National Federation of Independent Business (NFIB), the US small business optimism index in May 2019 was 105.0 points against, 103.5 points in April. The NFIB continues to note improvements in sales expectations, as well as business conditions.