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20 May 2015
GBP/USD rally stopping short of key 1.56 lvl and 200 DMA
FXStreet (Guatemala) - GBP/USD is currently trading at 1.5532 with a high of 1.5589 and a low of 1.5471.
GBP/USD has rallied on hawkish BoE minutes and taking a free ride as market prepare for the FOMC minutes and sell the greenback ahead of the event in anticipation of a sense of less urgency in respect to timings of a rate hike. This is a relief rally that has occurred on the back of yesterdays activity when the release of a speech that was delivered, initially, in private from ECB Governing Council member Benoit Coeure to a London group and then was subsequently traded yesterday in the markets when it was finally given out to the public creating a panic buy in to the greenback and causing sterling to dump further post the CPI misses.
GBP/USD trading right up towards the 200 day ma today and psychological round 1.56 level where it capped the major. The pair remains in bearish territory below here and the next major support to the downside comes at 1.5400/18 being the recent uptrend post 7-11th May consolidation. A close below here should confirm the bear trend, pointing towards the cloud support at 1.5059. 1.5660 is key resistance on the upside.
GBP/USD has rallied on hawkish BoE minutes and taking a free ride as market prepare for the FOMC minutes and sell the greenback ahead of the event in anticipation of a sense of less urgency in respect to timings of a rate hike. This is a relief rally that has occurred on the back of yesterdays activity when the release of a speech that was delivered, initially, in private from ECB Governing Council member Benoit Coeure to a London group and then was subsequently traded yesterday in the markets when it was finally given out to the public creating a panic buy in to the greenback and causing sterling to dump further post the CPI misses.
GBP/USD trading right up towards the 200 day ma today and psychological round 1.56 level where it capped the major. The pair remains in bearish territory below here and the next major support to the downside comes at 1.5400/18 being the recent uptrend post 7-11th May consolidation. A close below here should confirm the bear trend, pointing towards the cloud support at 1.5059. 1.5660 is key resistance on the upside.