13 Jan 2015
GBP/USD consolidates around 1.5160
FXStreet (Edinburgh) - After dropping to 1.5080 post-UK CPI, GBP/USD managed to gather traction and recover the mid-1.5100s, where it is now trying to consolidate.
GBP/USD attention to Carney’s speech
Consumer prices below estimates in the UK economy during December poured cold water over investors’ expectations today, sparking a sudden and sharp sell-off to the vicinity of 1.5080, or 3-day lows. In spite of the subsequent recovery, the pair will remain under scrutiny ahead of the speech by Governor M.Carney due tomorrow and the release of US Retail Sales for the month of December (-0.1% exp.). Karen Jones, Head of FICC Technical Analysis at Commerzbank, suggested the pair “is upside corrective near term, the market last week failed to tackle psychological support at 1.5000 and we suspect that we will see a small corrective move higher ahead of another leg lower”.
GBP/USD key levels
The pair is now retreating 0.13% at 1.5158 and a breakdown of 1.5078 (low Jan.9) would aim for 1.5028 (low Jul.15 2013) and finally 1.4845 (low Jul.10 2013). On the other hand, the initial resistance aligns at 1.5195 (high Jan.12) followed by 1.5274 (high Jan.6) and then 1.5297 (10d MA).
GBP/USD attention to Carney’s speech
Consumer prices below estimates in the UK economy during December poured cold water over investors’ expectations today, sparking a sudden and sharp sell-off to the vicinity of 1.5080, or 3-day lows. In spite of the subsequent recovery, the pair will remain under scrutiny ahead of the speech by Governor M.Carney due tomorrow and the release of US Retail Sales for the month of December (-0.1% exp.). Karen Jones, Head of FICC Technical Analysis at Commerzbank, suggested the pair “is upside corrective near term, the market last week failed to tackle psychological support at 1.5000 and we suspect that we will see a small corrective move higher ahead of another leg lower”.
GBP/USD key levels
The pair is now retreating 0.13% at 1.5158 and a breakdown of 1.5078 (low Jan.9) would aim for 1.5028 (low Jul.15 2013) and finally 1.4845 (low Jul.10 2013). On the other hand, the initial resistance aligns at 1.5195 (high Jan.12) followed by 1.5274 (high Jan.6) and then 1.5297 (10d MA).