13 Jan 2015
GBP/USD might move higher towards 1.5440 – Growth Aces
FXStreet (Barcelona) - The Growth Aces Team anticipates that GBP/USD might move higher, and suggest going long at 1.5080, targeting 1.5440 levels.
Key Quotes
“British consumer price inflation fell to 0.5% yoy in December from 1.0% yoy in November. The reading was below the median expectations of 0.7% yoy and our forecast of 0.6% yoy. The Office for National Statistics said falling petrol prices and lower electricity and gas bills compared with a year ago were the biggest factors pushing down inflation in December. In November, the BoE predicted CPI would hit its target of 2% only towards the end of 2017.”
“Core CPI (excluding energy, food, alcohol and tobacco) rose to 0.2% mom and 1.3% yoy in December vs. 1.2% yoy in November. Food prices fell 1.9% yoy, their biggest fall since June 2002.”
“The GBP/USD hit a day's low of 1.5077 after the CPI release and our long GBP/USD position reached its stop-loss level at 1.5080. The rate closed to an 18-month low of 1.5034 hit last week. However, we are still the opinion that GBP/USD is likely to move higher and got long again at 1.5080. We keep the target at 1.5440 and set a stop-loss at 1.4980.”
Key Quotes
“British consumer price inflation fell to 0.5% yoy in December from 1.0% yoy in November. The reading was below the median expectations of 0.7% yoy and our forecast of 0.6% yoy. The Office for National Statistics said falling petrol prices and lower electricity and gas bills compared with a year ago were the biggest factors pushing down inflation in December. In November, the BoE predicted CPI would hit its target of 2% only towards the end of 2017.”
“Core CPI (excluding energy, food, alcohol and tobacco) rose to 0.2% mom and 1.3% yoy in December vs. 1.2% yoy in November. Food prices fell 1.9% yoy, their biggest fall since June 2002.”
“The GBP/USD hit a day's low of 1.5077 after the CPI release and our long GBP/USD position reached its stop-loss level at 1.5080. The rate closed to an 18-month low of 1.5034 hit last week. However, we are still the opinion that GBP/USD is likely to move higher and got long again at 1.5080. We keep the target at 1.5440 and set a stop-loss at 1.4980.”