15 Jul 2015
GBP/USD struggles to sustain above 38.2% Fib of June rally
FXStreet (Mumbai) - The spot recovered to 1.5647 from the post-UK data low of 1.56, before falling below 1.5640, which is the 38.2% Fib retracement of the June rally.
GBP supported by average earnings
The spot was sold to a low of 1.56 after the data in the UK showed after the unemployment rate rose for the first time since Dec 2013. Meanwhile, the claimant count rose 7K, the first rise in claims since Oct 2012.
However, the bid tone on the GBP recovered as investors cheered the rise in the average earnings, which was the quickest its been since 2009 in June. Ahead in the day, Fed’s Yellen’s speech would be watched out by the investors. Yellen is expected to reiterate the probability of a rate hike in 2015, which could strengthen the bid tone on the USD.
GBP/USD Technical Levels
The spot currently trades around 1.5630. The immediate resistance is located at 1.5640 (38.2% Fib R of June rally), above which the pair could target 1.57. On the other hand, support is seen at 1.56 and 1.5550 (50% Fib R of June rally).
GBP supported by average earnings
The spot was sold to a low of 1.56 after the data in the UK showed after the unemployment rate rose for the first time since Dec 2013. Meanwhile, the claimant count rose 7K, the first rise in claims since Oct 2012.
However, the bid tone on the GBP recovered as investors cheered the rise in the average earnings, which was the quickest its been since 2009 in June. Ahead in the day, Fed’s Yellen’s speech would be watched out by the investors. Yellen is expected to reiterate the probability of a rate hike in 2015, which could strengthen the bid tone on the USD.
GBP/USD Technical Levels
The spot currently trades around 1.5630. The immediate resistance is located at 1.5640 (38.2% Fib R of June rally), above which the pair could target 1.57. On the other hand, support is seen at 1.56 and 1.5550 (50% Fib R of June rally).