8 Jul 2013
GBP/USD upside capped by 1.4900
FXstreet.com (Edinburgh) - The sterling is extending its intraday correction at the beginning of the week, although GBP/USD is still struggling to surpass 1.4900 the figure.
GBP/USD following euro’s price action
After bottoming in sub 1.4860 levels overnight, the pair managed to gather traction and attempted to break the key resistance at 1.4900, although the intent proved to be yet unsuccessful. UK’s housing costs measured by the RICS index will be in the limelight tonight as the most relevant release in the domestic docket. According to Brian Martin, Senior Strategist at ANZ, “In response to the BoE's announcement, cable broke down from the corrective flag pattern it has been trading in in recent months… In round terms, this could provide targeted moves towards 1.45, 1,42 or 1.37 respectively”.
GBP/USD tech levels
The pair is now flat at 1.4875 with the next support at 1.4859 (low Jul.8) ahead of 1.4855 (low Jul.5) and finally 1.4832 (2013 low Mar.12). On the flip side, a breakout of the psychological level at 1.5000 would expose 1.5077 (high Jul.5) and then 1.5172 (MA10d).
GBP/USD following euro’s price action
After bottoming in sub 1.4860 levels overnight, the pair managed to gather traction and attempted to break the key resistance at 1.4900, although the intent proved to be yet unsuccessful. UK’s housing costs measured by the RICS index will be in the limelight tonight as the most relevant release in the domestic docket. According to Brian Martin, Senior Strategist at ANZ, “In response to the BoE's announcement, cable broke down from the corrective flag pattern it has been trading in in recent months… In round terms, this could provide targeted moves towards 1.45, 1,42 or 1.37 respectively”.
GBP/USD tech levels
The pair is now flat at 1.4875 with the next support at 1.4859 (low Jul.8) ahead of 1.4855 (low Jul.5) and finally 1.4832 (2013 low Mar.12). On the flip side, a breakout of the psychological level at 1.5000 would expose 1.5077 (high Jul.5) and then 1.5172 (MA10d).