21 Aug 2013
GBP/USD testing highs, eyes on 1.5700
FXstreet.com (Edinburgh) -The sterling continues to push higher on Wednesday, taking the GBP/USD to fresh highs in the boundaries of the critical barrier at 1.5700.
GBP/USD supported by UK data
The UK economy continues its firm recovery, as shown by July’s figures from the Public Sector finances and the results from the CBI survey, giving extra buying interest to the pound. “The strong cyclical pick up in UK data has pushed Cable back into the middle of this year's 1.48-1.64 trading range… we think investors should remain cautious on sterling. If the BoE's forward guidance endures for longer than the markets currently expect, the currency will slide again particularly against the dollar”, assessed Mansoor Mohi-uddin, Director of FX Strategy at UBS.
GBP/USD levels to watch
As of writing the pair is advancing 0.13% at 1.5688 facing the next hurdle at 1.5723 (high Jun.18) followed by 1.5753 (high Jun.17) and finally 1.5782 (61.8% of 1.6380-1.4814). On the downside, a breach of 1.5651 (low Aug.21) would target 1.5629 (low Aug.20) and then 1.5610 (low Aug.19).
GBP/USD supported by UK data
The UK economy continues its firm recovery, as shown by July’s figures from the Public Sector finances and the results from the CBI survey, giving extra buying interest to the pound. “The strong cyclical pick up in UK data has pushed Cable back into the middle of this year's 1.48-1.64 trading range… we think investors should remain cautious on sterling. If the BoE's forward guidance endures for longer than the markets currently expect, the currency will slide again particularly against the dollar”, assessed Mansoor Mohi-uddin, Director of FX Strategy at UBS.
GBP/USD levels to watch
As of writing the pair is advancing 0.13% at 1.5688 facing the next hurdle at 1.5723 (high Jun.18) followed by 1.5753 (high Jun.17) and finally 1.5782 (61.8% of 1.6380-1.4814). On the downside, a breach of 1.5651 (low Aug.21) would target 1.5629 (low Aug.20) and then 1.5610 (low Aug.19).