27 Feb 2015
GBP/USD dips below 1.54
FXStreet (Mumbai) - The British Pound witnessed a fresh selling pressure, taking the GBP/USD below 1.54 despite the benchmark bond yield spread tilting in favor the Pound. The pair is trading near 1.5393 levels after having faced rejection at 1.5450 levels.
GBP/USD – Falls below 5-DMA and 10-DMA
The pair currently trades below the 5-DMA and the 10-DMA located at 1.5449 and 1.5422 levels respectively. The USD is strengthening across the board ahead of the Q4 GDP data. However, the losses in the GBP/USD seen today are contradicting the bond yield spread, which favors the British Pound. The UK 10-year Gilt yield inched higher by 4.5 basis points to 1.776, while the 10-year Treasury yield gained 1.7 basis points to 2.031%. Still, the GBP/USD pair has weakened 0.08% to trade at 1.5393.
GBP/USD Technical Levels
The pair has an immediate support at 1.5386, under which losses could be extended to 1.5342. On the flip side, resistance is seen at 1.5421 (10-DMA) and 1.5447 (5-DMA).
GBP/USD – Falls below 5-DMA and 10-DMA
The pair currently trades below the 5-DMA and the 10-DMA located at 1.5449 and 1.5422 levels respectively. The USD is strengthening across the board ahead of the Q4 GDP data. However, the losses in the GBP/USD seen today are contradicting the bond yield spread, which favors the British Pound. The UK 10-year Gilt yield inched higher by 4.5 basis points to 1.776, while the 10-year Treasury yield gained 1.7 basis points to 2.031%. Still, the GBP/USD pair has weakened 0.08% to trade at 1.5393.
GBP/USD Technical Levels
The pair has an immediate support at 1.5386, under which losses could be extended to 1.5342. On the flip side, resistance is seen at 1.5421 (10-DMA) and 1.5447 (5-DMA).