24 Mar 2014
GBP/USD was impressed by Hague at the open
FXStreet (Moscow) - GBP/USD opened the day with a gap lower at 1.6462, but soon recovered to 1.6495, trading around 1.6480 at the moment.
GBP/USD will have a chance
Although there were no obvious reasons for the pound to open lower, the market found one. The Sunday’s aggressive comments from Britain Foreign Secretary Hague made the investors worry about the rising tensions between the Britain and Russia with potential damage to both economies. Nevertheless, without any follow through the sell-off receded, and the pair recovered to 1.6480 area. Despite the empty UK economic calendar for today after the Nationwide House Price report was released, the pound will get its chance to move during this week, as British CPI and Retail Sales data are in store. The pair spent last Thursday and Friday trading at the 1,5-month lows around 1.6480 area. There are no arguments for the pair to break below this strong support level except politics, thus, the pound has good opportunity to rebound on any new hint of the British economy strength. The initial target in this case is at 1.6516 resistance level.
What are today’s key GBP/USD levels?
Today's central pivot point can be found at 1.6495, with support below at 1.6469, 1.6448, and 1.6422 with resistance above at 1.6516, 1.6542, and 1.6563. Hourly Moving Averages are bearish, with the 200SMA at 1.6592, and the daily 20EMA bearish at 1.6603. Hourly RSI is neutral at 43.
GBP/USD will have a chance
Although there were no obvious reasons for the pound to open lower, the market found one. The Sunday’s aggressive comments from Britain Foreign Secretary Hague made the investors worry about the rising tensions between the Britain and Russia with potential damage to both economies. Nevertheless, without any follow through the sell-off receded, and the pair recovered to 1.6480 area. Despite the empty UK economic calendar for today after the Nationwide House Price report was released, the pound will get its chance to move during this week, as British CPI and Retail Sales data are in store. The pair spent last Thursday and Friday trading at the 1,5-month lows around 1.6480 area. There are no arguments for the pair to break below this strong support level except politics, thus, the pound has good opportunity to rebound on any new hint of the British economy strength. The initial target in this case is at 1.6516 resistance level.
What are today’s key GBP/USD levels?
Today's central pivot point can be found at 1.6495, with support below at 1.6469, 1.6448, and 1.6422 with resistance above at 1.6516, 1.6542, and 1.6563. Hourly Moving Averages are bearish, with the 200SMA at 1.6592, and the daily 20EMA bearish at 1.6603. Hourly RSI is neutral at 43.