23 Oct 2013
GBP/USD fades a rebound to 1.6180
FXstreet.com (Edinburgh) -The bearish sentiment is intensifying around the sterling now, with the GBP/USD fading a rebound to the vicinity of 1.6180 after the BoE minutes.
GBP/USD remains offered
The pair continues its march south on Wednesday, giving away yesterday’s strong gains to the area of 1.6260 post-US Payrolls. The tone from the BoE minutes was broadly in line with market expectations, with the MPC unanimously voting to keep both the lending benchmark and the stimulus programme at 0.5% and £375 billion, respectively. The upbeat news came from the increment in Mortgage Approvals gauged by BBA, up to 43K in September vs. 39.4K estimated and August’s 38.2K. “. In the near term, the pair may be looking slightly more supported in the current dollar environment although the cap at 1.6260 remains unbroken since early October. Meanwhile, any consolidation lower may see support towards 1.6170”, observed Emmanuel Ng, Analyst at OCBC Bank.
GBP/USD critical levels
As of writing the pair is retreating 0.55% at 1.6146 and a breach of 1.6115 (low Oct.22) would expose 1.6100 (psychological level) and finally 1.6045 (MA10d). On the upside, the first hurdle aligns at 1.6224 (high Oct.18) followed by 1.6240 (high Oct.3) and then 1.6256 (high Oct.22).
GBP/USD remains offered
The pair continues its march south on Wednesday, giving away yesterday’s strong gains to the area of 1.6260 post-US Payrolls. The tone from the BoE minutes was broadly in line with market expectations, with the MPC unanimously voting to keep both the lending benchmark and the stimulus programme at 0.5% and £375 billion, respectively. The upbeat news came from the increment in Mortgage Approvals gauged by BBA, up to 43K in September vs. 39.4K estimated and August’s 38.2K. “. In the near term, the pair may be looking slightly more supported in the current dollar environment although the cap at 1.6260 remains unbroken since early October. Meanwhile, any consolidation lower may see support towards 1.6170”, observed Emmanuel Ng, Analyst at OCBC Bank.
GBP/USD critical levels
As of writing the pair is retreating 0.55% at 1.6146 and a breach of 1.6115 (low Oct.22) would expose 1.6100 (psychological level) and finally 1.6045 (MA10d). On the upside, the first hurdle aligns at 1.6224 (high Oct.18) followed by 1.6240 (high Oct.3) and then 1.6256 (high Oct.22).