28 May 2014
GBP/USD: buyers defending 1.6732, for now
FXStreet (Córdoba) - The GBP/USD extended losses at the beginning of the American session weighed by month-end EUR/GBP demand, and hit a fresh 2-week low.
The GBP/USD bottomed out at 1.6732, at the same level it did 2 weeks ago, but buyers reappeared to defend the support level, at least for now. At time of writing, the GBP/USD is trading at the 1.6740 area, recording a 0.40% loss on the day. A break below 1.6732 would led the Cable to its lowest since mid-April.
"Cable is under heavy pressure, owing mostly to month-end demand for EUR/GBP", said Jamie Coleman, analyst at FXBeat. "UK payments to the EU, some say for agricultural subsides, others say defense, are rumored behind the bounce".
GBP/USD levels to watch
In terms of technical levels, next supports for GBP/USD are seen at 1.6732 (May 15 low) and 1.6700 (psychological level) ahead of 1.6658 (100-day SMA). On the flip side, resistances could be faced at 1.6815 (May 28 high), 1.6826 (10-day SMA) and 1.6852 (May 26 high).
The GBP/USD bottomed out at 1.6732, at the same level it did 2 weeks ago, but buyers reappeared to defend the support level, at least for now. At time of writing, the GBP/USD is trading at the 1.6740 area, recording a 0.40% loss on the day. A break below 1.6732 would led the Cable to its lowest since mid-April.
"Cable is under heavy pressure, owing mostly to month-end demand for EUR/GBP", said Jamie Coleman, analyst at FXBeat. "UK payments to the EU, some say for agricultural subsides, others say defense, are rumored behind the bounce".
GBP/USD levels to watch
In terms of technical levels, next supports for GBP/USD are seen at 1.6732 (May 15 low) and 1.6700 (psychological level) ahead of 1.6658 (100-day SMA). On the flip side, resistances could be faced at 1.6815 (May 28 high), 1.6826 (10-day SMA) and 1.6852 (May 26 high).