GBP/USD year highs, looking for a break of the 1.6620 target?

FXstreet.com (Guatemala) - GBP/USD posted a two and half year high when we rallied from the off this morning in Europe on a softer dollar due to Fishers comments that they were some way off from raising rates. Meanwhile, the US data has fallen due and taken the stage.

GBP/USD reached 1.6615 but slipped back 1.6595 with supply coming in and talks of barrier protection. Chatter suggesting a break of 1.6620 ( the 19th August 2011 high) will open up the order books and proposes thin air there which could offer room for another rally. Data wise, we have seen an array from the US. US weekly jobless claims rose 1k to 326,000 which came in slightly better than forecast. Markit US PMI 53.7 preliminary in January was weak. Economists had forecast a rise to 55.0 from 54.4; Supporting the Sterling. Next up, US existing home sales.

GBP/USD Levels

The 20 DMA is 1.6452, the 50 DMA is 1.6356 and the 200 DMA is 1.5777. RSI (14) reads 59.45. Supports are ascending from 1.6415, 1.6452, 1.6480, 1.6518
1.6570. Spot is 1.6605 while resistances are 1.6618/20, 1.6660 and 1.6720.

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