15 Nov 2013
GBP/USD bounces off 1.6050
FXstreet.com (Edinburgh) - The pair’s intraday correction from earlier peaks near 1.6090 seems to have found decent support near the mid 1.60s, where buyers now lifted the GBP/USD to regain 1.6080.
GBP/USD remains focused on 1.6100
The pair’s weekly recovery remains intact nonetheless, with the immediate target being last week’s tops around 1.6110/15. Recent strong data from the key labour market coupled with healthy readings from the last PMI prints gave further impulse to the recovery, sustaining higher GBP levels and shrugging off horrible UK retail sales and poor CPI results. Richar Kelly, Analyst at TD Securities, commented, “The UK recovery remains under the microscope as the BoE saw enough over the last three months to upgrade their expectations. With home prices set to rise further over the coming year, this will continue to support consumer spending… A stable and ongoing recovery in domestic demand is likely to see the BoE upgrade their outlook further in February”.
GBP/USD levels to consider
The pair is now up 0.0114 at 1.6085 and a break above 1.6105 (high Nov.8) would open the door to 1.6115 (high Nov.7) and then 1.6118 (high Nov.6). On the downside, the next support aligns at 1.5988 (low Nov.14) followed by 1.5879 (low Nov.13) and then 1.5854 (low Nov.12).
GBP/USD remains focused on 1.6100
The pair’s weekly recovery remains intact nonetheless, with the immediate target being last week’s tops around 1.6110/15. Recent strong data from the key labour market coupled with healthy readings from the last PMI prints gave further impulse to the recovery, sustaining higher GBP levels and shrugging off horrible UK retail sales and poor CPI results. Richar Kelly, Analyst at TD Securities, commented, “The UK recovery remains under the microscope as the BoE saw enough over the last three months to upgrade their expectations. With home prices set to rise further over the coming year, this will continue to support consumer spending… A stable and ongoing recovery in domestic demand is likely to see the BoE upgrade their outlook further in February”.
GBP/USD levels to consider
The pair is now up 0.0114 at 1.6085 and a break above 1.6105 (high Nov.8) would open the door to 1.6115 (high Nov.7) and then 1.6118 (high Nov.6). On the downside, the next support aligns at 1.5988 (low Nov.14) followed by 1.5879 (low Nov.13) and then 1.5854 (low Nov.12).