10 Dec 2013
GBP/USD correcting lower to 1.6430
FXstreet.com (Edinburgh) - The GBP/USD is retracing the overnight climb to fresh 2013 highs near 1.6470, now hovering over the 1.6430/25 region.
GBP/USD firmer ahead of data
The pair keeps the rally intact on Tuesday, advancing almost uninterruptedly from mid-November lows below 1.5900 the figure on solid UK numbers and expectations for a rate hike sooner than expected. Ahead in the day, Trade Balance figures are due followed by Industrial/Manufacturing Production and the UK GDP Estimate by NIESR. Karen Jones, Head of FICC Technical Analysis at Commerzbank, commented, “Key nearby support are the previous highs seen at 1.6255/59 and while above here we are unable to rule out scope for a move to 1.6634/1.6735. Elliott wave counts across the spectrum suggest that this is the end of the move and that the topside should be limited to 1.6565”.
GBP/USD critical levels
The pair is now up 0.04% at 1.6433 with the next barrier at 1.6443 (high Dec.2) followed by 1.6467 (2013 high Dec.10) and then 1.6500 (psychological level). On the flip side, a breakdown of 1.6415 (high Dec.9) would open the door to 1.6393 (high Dec,6) and finally 1.6344 (MA10d).
GBP/USD firmer ahead of data
The pair keeps the rally intact on Tuesday, advancing almost uninterruptedly from mid-November lows below 1.5900 the figure on solid UK numbers and expectations for a rate hike sooner than expected. Ahead in the day, Trade Balance figures are due followed by Industrial/Manufacturing Production and the UK GDP Estimate by NIESR. Karen Jones, Head of FICC Technical Analysis at Commerzbank, commented, “Key nearby support are the previous highs seen at 1.6255/59 and while above here we are unable to rule out scope for a move to 1.6634/1.6735. Elliott wave counts across the spectrum suggest that this is the end of the move and that the topside should be limited to 1.6565”.
GBP/USD critical levels
The pair is now up 0.04% at 1.6433 with the next barrier at 1.6443 (high Dec.2) followed by 1.6467 (2013 high Dec.10) and then 1.6500 (psychological level). On the flip side, a breakdown of 1.6415 (high Dec.9) would open the door to 1.6393 (high Dec,6) and finally 1.6344 (MA10d).