6 Jan 2014
GBP/USD breaks below 1.64
FXstreet.com (Moscow) - GBP/USD again was knocked down by the risk aversion we saw in Yen crosses – the move strengthened as the pair broke below psychological barrier at 1.64; now it’s trading around 1.6360 area.
UK Services PMI will be the key for the pair
Despite the fact that Shadow Monetary Policy Committee (SMPC) decided by six votes to three that the interest rate should be raised this Thursday, we hardly believe in such come out. According to recent comments from Cameron, the British revival is still “fragile”, and indeed it’s proved by the latest Manufacturing PMI data. Last week the index fell to 57.3 from 58.1 in November, thus focusing the market attention on today’s Services PMI. If it comes out below expectations, it may put the GBP under further pressure with the short-term target on 1.6344 support level.
What are today’s key GBP/USD levels?
Today's central pivot point can be found at 1.6425, with support below at 1.6374 (S1), 1.6344 (S2) and 1.6293 (S3), with resistance above at 1.6455 (R1), 1.6506 (R2), and 1.6536 (R3). Hourly Moving Averages are bearish, with the 200SMA at 1.6461 and the daily 20EMA flat at 1.6402. Hourly RSI is neutral at 31.
UK Services PMI will be the key for the pair
Despite the fact that Shadow Monetary Policy Committee (SMPC) decided by six votes to three that the interest rate should be raised this Thursday, we hardly believe in such come out. According to recent comments from Cameron, the British revival is still “fragile”, and indeed it’s proved by the latest Manufacturing PMI data. Last week the index fell to 57.3 from 58.1 in November, thus focusing the market attention on today’s Services PMI. If it comes out below expectations, it may put the GBP under further pressure with the short-term target on 1.6344 support level.
What are today’s key GBP/USD levels?
Today's central pivot point can be found at 1.6425, with support below at 1.6374 (S1), 1.6344 (S2) and 1.6293 (S3), with resistance above at 1.6455 (R1), 1.6506 (R2), and 1.6536 (R3). Hourly Moving Averages are bearish, with the 200SMA at 1.6461 and the daily 20EMA flat at 1.6402. Hourly RSI is neutral at 31.