8 May 2014
GBP/USD consolidates below 1.7000
FXStreet (Córdoba) - The GBP/USD consolidates near multi-year highs following a limited downward correction ahead of the Bank of England monetary policy decision.
The GBP/USD correction from a nearly 5-year high of 1.6995 found support at 1.6943 Thursday, leaving the pair in a slim consolidative range ahead of the BoE decision, although another unchanged BoE announcement could turn into a non-event for the pound.
The Sterling has been rising steadily lately supported by strong fundamentals and prospects the BoE could start a hiking cycle before the Fed, with the GBP/USD threatening the 1.7000 psychological level.
GBP/USD technical levels
As for technical levels, if the Cable does break above 1.7000, next resistances are seen at 1.7041 (2009 high) and then 1.7100 (psychological level). On the other hand, supports are now seen at 1.6943 (May 8 low), 1.6917 (former 2014 high) and 1.6900 (psychological level).
The GBP/USD correction from a nearly 5-year high of 1.6995 found support at 1.6943 Thursday, leaving the pair in a slim consolidative range ahead of the BoE decision, although another unchanged BoE announcement could turn into a non-event for the pound.
The Sterling has been rising steadily lately supported by strong fundamentals and prospects the BoE could start a hiking cycle before the Fed, with the GBP/USD threatening the 1.7000 psychological level.
GBP/USD technical levels
As for technical levels, if the Cable does break above 1.7000, next resistances are seen at 1.7041 (2009 high) and then 1.7100 (psychological level). On the other hand, supports are now seen at 1.6943 (May 8 low), 1.6917 (former 2014 high) and 1.6900 (psychological level).