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7 Oct 2013
GBP/USD resumes the upside, 1.61 closer?
FXstreet.com (Edinburgh) -The bid tone remains intact around the sterling, now pushing the GBP/USD to test the upper end of the range around 1.6080/1.6100.
GBP/USD extends the bounce off 1.600
The pair recovered the composure after dropping to the psychological support at 1.6000 last week, picking up pace and now attempting to regain the 1.6100 handle ahead of the BoE gathering due on Thursday. Market consensus expects the central bank commanded by Mark Carney to leave unchanged both the refi rate and the stimulus programme at 0.5% and £375 billion respectively. Paul Roboson, Senior FX Strategist at RBS, argues that “We got a rally towards 1.63 which failed just below there and formed a Harami pattern. This makes us feel that now we go and test the bottom of the above range towards the 1.58 area”.
GBP/USD technical levels
The pair is now up 0.38% at 1.6071 with the immediate resistance at 1.6100 (psychological level) ahead of 1.6109 (MA10d) and finally 1.6179 (high Oct.4). On the downside, a break below 1.6015 (low Oct.7) would open the door to 1.6006 (low Oct.4) and then 1.5954 (low Sep.24).
GBP/USD extends the bounce off 1.600
The pair recovered the composure after dropping to the psychological support at 1.6000 last week, picking up pace and now attempting to regain the 1.6100 handle ahead of the BoE gathering due on Thursday. Market consensus expects the central bank commanded by Mark Carney to leave unchanged both the refi rate and the stimulus programme at 0.5% and £375 billion respectively. Paul Roboson, Senior FX Strategist at RBS, argues that “We got a rally towards 1.63 which failed just below there and formed a Harami pattern. This makes us feel that now we go and test the bottom of the above range towards the 1.58 area”.
GBP/USD technical levels
The pair is now up 0.38% at 1.6071 with the immediate resistance at 1.6100 (psychological level) ahead of 1.6109 (MA10d) and finally 1.6179 (high Oct.4). On the downside, a break below 1.6015 (low Oct.7) would open the door to 1.6006 (low Oct.4) and then 1.5954 (low Sep.24).