22 Jan 2014
GBP/USD through 1.6500 on BoE, data
FXstreet.com (Edinburgh) - The pound is now gathering pace against the greenback, with the GBP/USD quickly leaving behind the key barrier at 1.6500 after a positive report from the UK labour market.
GBP/USD in 3-week highs
The pair climbed to the boundaries of 1.6540 soon after the unemployment rate dropped to 7.1% in the three months ended in November, exceeding estimates at 7.3% and lower than the 7.4% previous. The unemployment descended by 24K during December, missing expectations for a drop of 35.0K and November’s 34.3K (revised). In line with forecasts, the BoE voting pattern was 9-0 in favour of leaving unchanged both the asset purchase facility and the refi rate at £375 billion and 0.5%, respectively. The central bank also stressed that there is no need to immediately raise rates should the u-rate hit the 7.0% threshold sooner.
GBP/USD key levels
At the moment the pair is advancing 0.38% at 1.6535 with the next resistance at 1.6605 (2014 high Jan.2) and then 1.6618 (high Aug.19 2011). On the downside, a break below 1.6400 (low Jan.21) would aim for 1.6396 (low Jan.20) and then 1.6309 (low Jan.17).
GBP/USD in 3-week highs
The pair climbed to the boundaries of 1.6540 soon after the unemployment rate dropped to 7.1% in the three months ended in November, exceeding estimates at 7.3% and lower than the 7.4% previous. The unemployment descended by 24K during December, missing expectations for a drop of 35.0K and November’s 34.3K (revised). In line with forecasts, the BoE voting pattern was 9-0 in favour of leaving unchanged both the asset purchase facility and the refi rate at £375 billion and 0.5%, respectively. The central bank also stressed that there is no need to immediately raise rates should the u-rate hit the 7.0% threshold sooner.
GBP/USD key levels
At the moment the pair is advancing 0.38% at 1.6535 with the next resistance at 1.6605 (2014 high Jan.2) and then 1.6618 (high Aug.19 2011). On the downside, a break below 1.6400 (low Jan.21) would aim for 1.6396 (low Jan.20) and then 1.6309 (low Jan.17).