10 Oct 2013
GBP/USD testing peaks around 1.5970
FXstreet.com (Edinburgh) -The pound continues to alternate between gains and losses on Thursday, with the GBP/USD now assaulting the area of 1.5965/70.
GBP/USD firmer after BoE
The BoE left its monetary policy unchanged in its meeting today, matching the broader market expectations and giving further signals that the central bank would not need to reactivate its easing cycle at the moment. Despite the move was largely anticipated by traders, the sterling found some respite within the recent steep descent, intensified after the disappointing industrial data. Ross Walker, Analyst at RBS, assessed, “the fundamental data trends remain moderately positive and we continue to expect a gradual underlying pick-up in GDP (1.5% in 2013, 2.0% in 2014) alongside a steady fall in the unemployment rate (with the MPC's 7% threshold being reached in Q1 2015 on our forecast). That would pave the way for the first Bank Rate hike around Q3 2015”.
GBP/USD key levels
The pair is now up 0.10% at 1.5970 with the next resistance at 1.6098 (MA10d) followed by 1.6122 (high Oct.9) and then 1.6124 (high Oct.8). On the flip side, a breakdown of 1.5914 (low Oct.10) would 1.5893 (low Sep.18) and finally 1.5869 (low Sep/16).
GBP/USD firmer after BoE
The BoE left its monetary policy unchanged in its meeting today, matching the broader market expectations and giving further signals that the central bank would not need to reactivate its easing cycle at the moment. Despite the move was largely anticipated by traders, the sterling found some respite within the recent steep descent, intensified after the disappointing industrial data. Ross Walker, Analyst at RBS, assessed, “the fundamental data trends remain moderately positive and we continue to expect a gradual underlying pick-up in GDP (1.5% in 2013, 2.0% in 2014) alongside a steady fall in the unemployment rate (with the MPC's 7% threshold being reached in Q1 2015 on our forecast). That would pave the way for the first Bank Rate hike around Q3 2015”.
GBP/USD key levels
The pair is now up 0.10% at 1.5970 with the next resistance at 1.6098 (MA10d) followed by 1.6122 (high Oct.9) and then 1.6124 (high Oct.8). On the flip side, a breakdown of 1.5914 (low Oct.10) would 1.5893 (low Sep.18) and finally 1.5869 (low Sep/16).