6 Nov 2013
GBP/USD clings to gains around 1.6100
FXstreet.com (Córdoba) - The GBP/USD failed to hold above 1.6100 and pulled back after printing a high of 1.6116 during the European session, propelled by UK data.
The GBP/USD however, lacked strength to extend its rally further and settled below 1.6100 where it has spent the last hours in quiet consolidation as investors await the BoE decision tomorrow. The BoE could be a non-event as no changes are expected from the bank and the ECB is taking all the attention amid expectations of a rate cut in the Eurozone.
At time of writing, GBP/USD is trading at the 1.6090 area, 0.3% above its opening price, recording its third daily gain in a row.
GBP/USD technical outlook
From a technical perspective, Valeria Bednarik, chief analyst at FXstreet.com notes that GBP/USD is consolidating in between Fibonacci levels: 1.6060, 50% retracement of its latest fall and 61.8% retracement of the same rally around 1.6120 keeping the short-term positive bias. "A break above 1.6116 (daily high) should see current advance extending up to 1.6160/80 price zone".
Bednarik locates next resistances at 1.6120, 1.6160 and 1.6200, while she sees supports at 1.6065, 1.6035 and 1.6010.
The GBP/USD however, lacked strength to extend its rally further and settled below 1.6100 where it has spent the last hours in quiet consolidation as investors await the BoE decision tomorrow. The BoE could be a non-event as no changes are expected from the bank and the ECB is taking all the attention amid expectations of a rate cut in the Eurozone.
At time of writing, GBP/USD is trading at the 1.6090 area, 0.3% above its opening price, recording its third daily gain in a row.
GBP/USD technical outlook
From a technical perspective, Valeria Bednarik, chief analyst at FXstreet.com notes that GBP/USD is consolidating in between Fibonacci levels: 1.6060, 50% retracement of its latest fall and 61.8% retracement of the same rally around 1.6120 keeping the short-term positive bias. "A break above 1.6116 (daily high) should see current advance extending up to 1.6160/80 price zone".
Bednarik locates next resistances at 1.6120, 1.6160 and 1.6200, while she sees supports at 1.6065, 1.6035 and 1.6010.