12 Feb 2016
GBP/USD fades spike to 1.4530 as stock futures drop
The GBP/USD pair jumped to 1.4528 before falling back to 1.4500 levels after the major European equity futures turned lower.
Focus on stocks
The economic calendar in UK is empty; hence the pair is at the mercy of the equity market sentiment. As of writing, the major European equity futures were pointing to a flat to negative opening. A drop in the equities could push the UK Gilt yields lower and weigh over Sterling.
Later in the day, the US retail sales figure could influence the pair.
GBP/USD Technical Levels
The immediate resistance is seen at 1.4519 (38.2% of 1.5230-1.4079), above which the spot could target 1.4578 (Feb 10 high). On the other hand, of the immediate support of 1.4443 (38.2% of 1.4079-1.4668) could see the spot drop to 1.44 levels.
Focus on stocks
The economic calendar in UK is empty; hence the pair is at the mercy of the equity market sentiment. As of writing, the major European equity futures were pointing to a flat to negative opening. A drop in the equities could push the UK Gilt yields lower and weigh over Sterling.
Later in the day, the US retail sales figure could influence the pair.
GBP/USD Technical Levels
The immediate resistance is seen at 1.4519 (38.2% of 1.5230-1.4079), above which the spot could target 1.4578 (Feb 10 high). On the other hand, of the immediate support of 1.4443 (38.2% of 1.4079-1.4668) could see the spot drop to 1.44 levels.