26 Aug 2015
GBP/USD hits fresh 2-week lows sub-1.5500
FXStreet (Córdoba) - The pound has continued to underperform on Wednesday, having lost more than 250 pips throughout the day versus the greenback amid concerns the BoE might have to wait before raising rates amid low inflation expectations.
GBP/USD broke below the 1.5500 level and scored a 2-week low of 1.5453 in recent dealings. At time of writing, the pair is trading at 1.5455, 1.47% below its opening price.
GBP/USD levels to watch
“The pair trades back around the base of these last 2-month range, which increases the potential of a mid-bearish continuation after the failed upward breakout, earlier this week”, said Valeria Bednarik, chief analyst at FXStreet. “Due to the sharp decline and the fact that the price is at a critical support level, the pair may see some consolidation, or even a shallow bounce, before setting another directional move, yet as long as the price remains below 1.5520, the risk remains towards the downside”.
Bednarik locates next support levels at 1.5455, 1.5410 and 1.5370 while she sees resistances at 1.5520, 1.5560 and 1.5610.
GBP/USD broke below the 1.5500 level and scored a 2-week low of 1.5453 in recent dealings. At time of writing, the pair is trading at 1.5455, 1.47% below its opening price.
GBP/USD levels to watch
“The pair trades back around the base of these last 2-month range, which increases the potential of a mid-bearish continuation after the failed upward breakout, earlier this week”, said Valeria Bednarik, chief analyst at FXStreet. “Due to the sharp decline and the fact that the price is at a critical support level, the pair may see some consolidation, or even a shallow bounce, before setting another directional move, yet as long as the price remains below 1.5520, the risk remains towards the downside”.
Bednarik locates next support levels at 1.5455, 1.5410 and 1.5370 while she sees resistances at 1.5520, 1.5560 and 1.5610.