30 Jul 2015
GBP/USD back above 1.56
FXStreet (Mumbai) - The GBP/USD pair has managed to restrict losses and turn upwards to fresh session high of 1.5624 even though short-end treasury yields indicate increased probability of a rate hike in the US.
Supported at 1.5589
The spot rebounded from the low of 1.5589 even though the USD managed to strengthen across the board on an uptick in the treasury yields. The fed funds rate futures are indicating that September rate hike is off the table, however, the two-year yield rose to 0.739%, almost four basis points higher after the release of the FOMC statement.
It remains to be seen if the pair manages to extend gains. Ahead in the day, spot could be influenced by the preliminary Q2 US GDP data and weekly jobless claims.
GBP/USD Technical Levels
The immediate support is seen at 1.5568 (38.2% of Jul 14-Apr 15 plunge), followed by another support at 1.5545 (50-DMA). On the other hand, resistance is seen at 1.5639 (38.2% of June rally) and 1.5690.
Supported at 1.5589
The spot rebounded from the low of 1.5589 even though the USD managed to strengthen across the board on an uptick in the treasury yields. The fed funds rate futures are indicating that September rate hike is off the table, however, the two-year yield rose to 0.739%, almost four basis points higher after the release of the FOMC statement.
It remains to be seen if the pair manages to extend gains. Ahead in the day, spot could be influenced by the preliminary Q2 US GDP data and weekly jobless claims.
GBP/USD Technical Levels
The immediate support is seen at 1.5568 (38.2% of Jul 14-Apr 15 plunge), followed by another support at 1.5545 (50-DMA). On the other hand, resistance is seen at 1.5639 (38.2% of June rally) and 1.5690.