21 Nov 2013
GBP/USD ticking up against odds?
FXstreet.com (London) - GBP/USD has climbed back into the 1.61 handle after free falling yesterday from above 1.6180.
The FOMC minutes were the theme and are preparing the market for less asset purchases and more forward guidance as the transition to “normal” rate policy comes into view. Thus sentiment is still around March as the month for the start of the taper. However, a firm payrolls early next month may have some US bulls holding out for a December taper still and that is keeping the pair generally offered and capped for the time being. There is generally a firmer dollar outlook across the board but Sterling has been resilient on the day. US Initial Jobless Claims improved from 323k vs the 335k consensus. PPI came in line at 0.3% while PPI ex food and energy year on year was up slightly vs consensus at 1.4% vs 1.3%.
GBP/USD Levels
The 20 DMA is 1.6061, the 50 DMA is 1.6056 and the 200 DMA is 1.5508. RSI (14) reads 54.34. Supports are ascending from 1.5963, 1.5988, 1.6048,1.6060,1.6079. Spot is currently 1.6141with resistances at 1.6158, 1.6181 and 1.6207.
The FOMC minutes were the theme and are preparing the market for less asset purchases and more forward guidance as the transition to “normal” rate policy comes into view. Thus sentiment is still around March as the month for the start of the taper. However, a firm payrolls early next month may have some US bulls holding out for a December taper still and that is keeping the pair generally offered and capped for the time being. There is generally a firmer dollar outlook across the board but Sterling has been resilient on the day. US Initial Jobless Claims improved from 323k vs the 335k consensus. PPI came in line at 0.3% while PPI ex food and energy year on year was up slightly vs consensus at 1.4% vs 1.3%.
GBP/USD Levels
The 20 DMA is 1.6061, the 50 DMA is 1.6056 and the 200 DMA is 1.5508. RSI (14) reads 54.34. Supports are ascending from 1.5963, 1.5988, 1.6048,1.6060,1.6079. Spot is currently 1.6141with resistances at 1.6158, 1.6181 and 1.6207.