11 Nov 2013
GBP/USD supported around 1.6000
FXstreet.com (Edinburgh) -Recent pullbacks in the sterling found decent support around the psychological mark at 1.6000, leaving the GBP/USD to trade between 1.6000 and 1.6020 so far.
GBP/USD focus on data
Key week ahead for the pound, as UK Consumer Prices for October are due tomorrow (headline expected at 2.5% YoY) ahead of the more relevant BoE’s Quarter Inflation Report and Governor M.Carney’s speech on Wednesday. Strategists S.Gallo and G.Anderson at BMO commented, “we think the likely tone of the Report will centre around two possible outcomes. One the one hand, the BoE may use the release to reinforce the current forward guidance and availability of macro prudential tools. Such a scenario would be rather negative for UK rates and the GBP. On the other hand, the Bank may use the Report to signal some sort of ‘capitulation’ to recent market forces and sentiment, which have speculated that UK interest rates will need to rise before end-2016”.
GBP/USD relevant levels
As of writing the pair is up 0.02% at 1.6017and a surpass of 1.6072 (MA30d) would open the door to 1.6105 (high Nov.8) and then 1.6115 (high Nov.7). On the downside, the initial support aligns at 1.5957 (low Nov.8) ahead of 1.5949 (low Nov.5) and finally 1.5904 (low Nov.4).
GBP/USD focus on data
Key week ahead for the pound, as UK Consumer Prices for October are due tomorrow (headline expected at 2.5% YoY) ahead of the more relevant BoE’s Quarter Inflation Report and Governor M.Carney’s speech on Wednesday. Strategists S.Gallo and G.Anderson at BMO commented, “we think the likely tone of the Report will centre around two possible outcomes. One the one hand, the BoE may use the release to reinforce the current forward guidance and availability of macro prudential tools. Such a scenario would be rather negative for UK rates and the GBP. On the other hand, the Bank may use the Report to signal some sort of ‘capitulation’ to recent market forces and sentiment, which have speculated that UK interest rates will need to rise before end-2016”.
GBP/USD relevant levels
As of writing the pair is up 0.02% at 1.6017and a surpass of 1.6072 (MA30d) would open the door to 1.6105 (high Nov.8) and then 1.6115 (high Nov.7). On the downside, the initial support aligns at 1.5957 (low Nov.8) ahead of 1.5949 (low Nov.5) and finally 1.5904 (low Nov.4).