20 Nov 2013
GBP/USD capped by 1.6160
FXstreet.com (Edinburgh) - The sterling remains in the upper band of today’s range, taking the GBP/USD to the area of 1.6140/60 post-BoE minutes.
GBP/USD now looks to USD docket
The pair recovered the upbeat tone after a brief knee-jerk below 1.6120 on the neutral tone from the BoE minutes, although it remains under pressure ahead of the key US releases – inflation figures, retail sales, existing home sales, FOMC minutes. James Knightley, Analyst at ING, assessed, “There were both upside risks for growth relating to rising confidence and improving credit conditions while to the downside the BoE cite balance sheet repair constraining demand and negative real income growth while the UK remains vulnerable to “disorderly adjustment” in the Eurozone and emerging markets”.
GBP/USD levels to watch
At the moment the pair is up 0.11% at 1.6144 with the immediate hurdle at 1.6163 (76.4% of 1.6258-1.5854) ahead of 1.6207 (high Oct.28) and then 1.6248 (high Oct.25). On the downside, a break below1.6104 (low Nov.20) would target 1.6065 (MA30d) en route to 1.6060 (low Nov.19).
GBP/USD now looks to USD docket
The pair recovered the upbeat tone after a brief knee-jerk below 1.6120 on the neutral tone from the BoE minutes, although it remains under pressure ahead of the key US releases – inflation figures, retail sales, existing home sales, FOMC minutes. James Knightley, Analyst at ING, assessed, “There were both upside risks for growth relating to rising confidence and improving credit conditions while to the downside the BoE cite balance sheet repair constraining demand and negative real income growth while the UK remains vulnerable to “disorderly adjustment” in the Eurozone and emerging markets”.
GBP/USD levels to watch
At the moment the pair is up 0.11% at 1.6144 with the immediate hurdle at 1.6163 (76.4% of 1.6258-1.5854) ahead of 1.6207 (high Oct.28) and then 1.6248 (high Oct.25). On the downside, a break below1.6104 (low Nov.20) would target 1.6065 (MA30d) en route to 1.6060 (low Nov.19).