GBP/USD is slightly offered after the release of US jobless

FXstreet.com (London) - The GBP/USD has been capped at 1.5460 after the slightly positive release of US Jobless Claims.

The US jobless numbers, falling from 2.0004m to 2.952m against a slightly higher consensus of 2.957m have kept the pair oscillating in a tight range above pivot.

BoE was a non-event with a data set from May not justifying QE with the composite PMI now suggesting growth trending towards the 2% level and while King continues to vote for more QE, an extension of the asset purchase program today would be a surprise.

The levels to short cable might becoming more compelling to the bears and while the data set has been better, trading sterling is likely to be more about assessing sentiment. The Carney impact and look to re-establish positioning over the coming weeks. Vols in GBP continue to be attractive but from a cash perspective, 1.5600/20 (May highs) could be a level through which bulls need to watch out for the bears. All eyes are on the NFP’s tomorrow.

Karen Jones, Chief Analyst at Commerzbank said that the GBP/USD positioning, in her view, is a near term corrective move. Her team expected there could be further gains to 1.5470, the 78.6% retracement resistance that it touched today. They favoured failure here and will maintain an overall negative bias while capped by the 1.5601 May high.

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