GBP/USD bounces off 1.5500

FXstreet.com (Edinburgh) -The sterling found buying interest in the boundaries of the key support at 1.5500 on Thursday, pushing the GBP/USD a little higher to 1.5510/15.

GBP/USD remains above 1.5500

The speech by BoE’s Carney on Wednesday was less dovish than the FX community was expecting, lifting the pair more than a big figure from lows near 1.5420 to session peaks shy of 1.5560, although losing some impetus soon after. Lee Hardman, Currency Analyst at BTMU, commented, “he did not specifically attempt to talk down UK short rates although did warn that developments will be watched closely. If tighter overall monetary conditions lead to the recovery falling short of the “strong” growth needed, the BoE will consider implementing further monetary easing”.

GBP/USD relevant levels

The pair is now losing 0.07% at 1.5514 with the immediate support at 1.5449 (MA30d) followed by 1.5427 (low Aug.28) and then 1.5402 (rising channel base). On the upside, a surpass of 1.5548 (high Aug.29) would target 1.5553 (high Aug.28) en route to 1.5589 (MA10d).

Flash: Carney impact limited on GBP/USD - BTMU

Lee Hardman, FX Analyst at the Bank of Tokyo Mitsubishi UFJ notes that BoE Governor Carney’s much anticipated first speech yesterday has had only a limited impact upon the pound and UK short rates.
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Flash: USD/JPY crawls higher on firmer US yields - OCBC Bank

Emmanuel Ng of OCBC Bank notes that amid firmer US yields and the BOJ’s intent to continue to pursue an ultra accommodative monetary posture, the USD-JPY managed to crawl higher.
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