18 Feb 2015
GBP/USD holds above 38.2% fib level, trades at 1.5350
FXStreet (Mumbai) - The GBP/USD managed to hold above the 38.2% Fib extension level (1.4988 to 1.5350 and 1.5196) at 1.5334 in the previous session despite the UK annualised CPI hitting record lows in January. The pair recovered today to trade slightly higher at 1.5350 levels.
Pound could benefit from UK jobless claims data and BOE minutes
The British Pound could strengthen as the UK jobless claims are seen falling by another 25.0K in January, while the weekly average weekly earnings are seen rising 1.7%. Meanwhile, the tone of the Bank of England policy minutes is widely expected to be optimistic; reiterating the message already conveyed by the Quarterly Inflation Report (QIR) released earlier this month. Analysts also believe, the unanimous vote to maintain interest rates at record low remained unchanged at the last meet.
An upbeat monthly employment data coupled with a slightly hawkish BOE minutes could help the Pound advance across the board. However, the Fed minutes due for release in the US session are likely to cap gains in the GBP/USD pair.
GBP/USD Technical Levels
The pair has an immediate support located at 1.5334, under which losses could be extended to 1.53 levels. On the flip side, resistance is seen at 1.5376 and 1.5418 levels.
Pound could benefit from UK jobless claims data and BOE minutes
The British Pound could strengthen as the UK jobless claims are seen falling by another 25.0K in January, while the weekly average weekly earnings are seen rising 1.7%. Meanwhile, the tone of the Bank of England policy minutes is widely expected to be optimistic; reiterating the message already conveyed by the Quarterly Inflation Report (QIR) released earlier this month. Analysts also believe, the unanimous vote to maintain interest rates at record low remained unchanged at the last meet.
An upbeat monthly employment data coupled with a slightly hawkish BOE minutes could help the Pound advance across the board. However, the Fed minutes due for release in the US session are likely to cap gains in the GBP/USD pair.
GBP/USD Technical Levels
The pair has an immediate support located at 1.5334, under which losses could be extended to 1.53 levels. On the flip side, resistance is seen at 1.5376 and 1.5418 levels.