18 Dec 2014
GBP/USD trims half of yesterday's losses
FXStreet (Córdoba) - GBP/USD bounced sharply from lows, rising nearly 120 pips during the European session, following the release of much better than expected UK retail sales numbers.
After retesting 2014 lows, GBP/USD recovered half of the ground lost Wednesday on the back the Federal Reserve statement, and climbed to the 1.5670 area before losing steam. At time of writing, Cable is trading at 1.5645, recording a 0.47% gain Thursday.
UK retail sales grew at the fastest annual pace in 10 years. Sales increased 6.4% year over year, posting the highest increase since May 2004 and marking the 20th consecutive month of growth. Compared with October, sales rose 1.6%, versus 0.3% expected.
GBP/USD technical outlook
"Further advances above 1.5640 level may see the pair extending up to 1.5690 price zone, but selling interest will likely surge around the 1.5700 figure", said Valeria Bednarik, chief analyst at FXStreet. "The immediate support is 1.5590, and it will take a break below it to confirm a downward extension, eyeing then this year low around 1.5540".
After retesting 2014 lows, GBP/USD recovered half of the ground lost Wednesday on the back the Federal Reserve statement, and climbed to the 1.5670 area before losing steam. At time of writing, Cable is trading at 1.5645, recording a 0.47% gain Thursday.
UK retail sales grew at the fastest annual pace in 10 years. Sales increased 6.4% year over year, posting the highest increase since May 2004 and marking the 20th consecutive month of growth. Compared with October, sales rose 1.6%, versus 0.3% expected.
GBP/USD technical outlook
"Further advances above 1.5640 level may see the pair extending up to 1.5690 price zone, but selling interest will likely surge around the 1.5700 figure", said Valeria Bednarik, chief analyst at FXStreet. "The immediate support is 1.5590, and it will take a break below it to confirm a downward extension, eyeing then this year low around 1.5540".