9 Jul 2015
GBP/USD frozen around 1.5385, awaits BOE decision
FXStreet (Mumbai) - The British pound keeps range below 1.54 handle versus the US dollar in the mid-European trades, with GBP/USD striving for 1.5400. The cable consolidates to the upside despite broad based US dollar strength, in an attempt to recuperate from the sell-off seen earlier this week, while markets now await fresh cues from the upcoming Bank of England’s (BOE) rate decision.
BOE– In focus
The GBP/USD pair trades 0.17% higher at 1.5386, retreating from fresh session lows of 1.5357. The major keeps gains this session as risk-on moods return to markets amid stabilizing China stocks while markets continue to monitor Greece updates.
However, the gains were capped by rising greenback against its major peers. The dollar index, which measures the greenback’s strength against its major competitors, now trades 0.36% higher at 96.72.
Markets now focus on the Bank of England’s (BOE) rate and QE announcement later today. It is very likely the central bank will leave its monetary policy stance unchanged in July – the base rate will stay at the record low of 0.5% and the QE volume at £375 billion.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.5421 (Today’s High) above which gains could be extended to 1.5468 (July 8 High) levels. On the flip side, support is seen at 1.5357 (Today’s Low) below which it could extend losses to 1.5328 (July 8 Low) levels.
BOE– In focus
The GBP/USD pair trades 0.17% higher at 1.5386, retreating from fresh session lows of 1.5357. The major keeps gains this session as risk-on moods return to markets amid stabilizing China stocks while markets continue to monitor Greece updates.
However, the gains were capped by rising greenback against its major peers. The dollar index, which measures the greenback’s strength against its major competitors, now trades 0.36% higher at 96.72.
Markets now focus on the Bank of England’s (BOE) rate and QE announcement later today. It is very likely the central bank will leave its monetary policy stance unchanged in July – the base rate will stay at the record low of 0.5% and the QE volume at £375 billion.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.5421 (Today’s High) above which gains could be extended to 1.5468 (July 8 High) levels. On the flip side, support is seen at 1.5357 (Today’s Low) below which it could extend losses to 1.5328 (July 8 Low) levels.