23 Mar 2015
GBP/USD: Range bound ahead of busy week
FXStreet (Guatemala) - GBP/USD is currently at 1.4930 trading with a high of 1.4975 and a low of 1.4837.
GBP/USD is constructive below the 1.50 handle that caps the pair on minor recoveries of late. The downside is becoming compelling with continued topside failures but fundamentals have not so far warranted any action outside of the 1.5148 and 1.4636 broader term range either for this month. The calendar this week brings CPI's for both the UK and the US and these will be interesting given the Fed's recent downgrading of the inflation out look, as will be the GDP numbers at the end of the week under the same microscope due to recent downgrading from the FOMC. UK retail sales are due this week also.
Technically, Karen Jones, chief analyst at Commerzbank explained that they look for a retest of the 1.4813 2013 low and then the 1.4636 current March low. "Eventually the 1.4291/29 area will be targeted."
GBP/USD is constructive below the 1.50 handle that caps the pair on minor recoveries of late. The downside is becoming compelling with continued topside failures but fundamentals have not so far warranted any action outside of the 1.5148 and 1.4636 broader term range either for this month. The calendar this week brings CPI's for both the UK and the US and these will be interesting given the Fed's recent downgrading of the inflation out look, as will be the GDP numbers at the end of the week under the same microscope due to recent downgrading from the FOMC. UK retail sales are due this week also.
Technically, Karen Jones, chief analyst at Commerzbank explained that they look for a retest of the 1.4813 2013 low and then the 1.4636 current March low. "Eventually the 1.4291/29 area will be targeted."