3 Oct 2013
GBP/USD dips to lows pre-Europe
FXstreet.com (Edinburgh) -A bout of selling interest is now dragging the GBP/USD to fresh session lows in the area of 1.6220/15 on Thursday, ahead of the UK services PMI.
GBP/USD remains strong
The pair is posting its fifth consecutive week of gains and climbing from multi-year lows around 1.4800 in early July propped up by the incipient recovery in the UK economy, the increasing risk-on trade and the skepticism surrounding the BoE’s forward guidance. Tim Riddell, Head of Global Markets Research at ANZ, commented, “The surging gains seen above 1.5700 will continue to raise calls for a test of the 1.6330-1.6380 resistance area and potentially more impulsive moves towards 1.6750… However, this is still seen as redefining a broader trading range, albeit pushing the range higher”.
GBP/USD levels to watch
As of writing the pair is losing 0.03% at 1.6220 with the immediate support at 1.6203 (MA21h) followed by 1.6162 (low Oct.2) and then 1.6100 (low Sep.30). On the upside, a breakout of 1.6252 (high Oct.2) would target 1.6260 (high Oct.1) and finally 1.6300 (psychological level).
GBP/USD remains strong
The pair is posting its fifth consecutive week of gains and climbing from multi-year lows around 1.4800 in early July propped up by the incipient recovery in the UK economy, the increasing risk-on trade and the skepticism surrounding the BoE’s forward guidance. Tim Riddell, Head of Global Markets Research at ANZ, commented, “The surging gains seen above 1.5700 will continue to raise calls for a test of the 1.6330-1.6380 resistance area and potentially more impulsive moves towards 1.6750… However, this is still seen as redefining a broader trading range, albeit pushing the range higher”.
GBP/USD levels to watch
As of writing the pair is losing 0.03% at 1.6220 with the immediate support at 1.6203 (MA21h) followed by 1.6162 (low Oct.2) and then 1.6100 (low Sep.30). On the upside, a breakout of 1.6252 (high Oct.2) would target 1.6260 (high Oct.1) and finally 1.6300 (psychological level).