15 Jul 2014
GBP/USD pushes higher to 1.7160
FXStreet (Edinburgh) - The bid tone around the sterling remains intact on Tuesday, now pushing the GBP/USD beyond the 1.7150 level.
GBP/USD firmer post-UK CPI
Higher-than-expected consumer prices in the UK economy during June have prompted investors to re-consider the likeliness of a rate hike by the BoE sooner than markets are currently anticipating, intensifying the buying interest for the pound. Ahead in the week, the key report from the UK labour market is due tomorrow, with consensus expecting the jobless rate to tick lower to 6.5% in the three months to May and the unemployment to have decreased by 27K in June. “Note that the pair consolidated lower below 1.7100 on Monday and may seek out the 1.7050 neighborhood in the near term as investors attempt to digest the less than sterling (no pun intended) data releases of late”, observed Emmanuel Ng, FX Strategist at OCBC Bank.
GBP/USD key levels
The pair is now up 0.44% at 1.7160 with the next resistance at 1.7168 (high Jul.10) ahead of 1.7203 (high Oct.21 2008). On the flip side, a breakdown of 1.7059 (low Jul.15) would expose 1.7050 (50% of 1.6920-1.7280).
GBP/USD firmer post-UK CPI
Higher-than-expected consumer prices in the UK economy during June have prompted investors to re-consider the likeliness of a rate hike by the BoE sooner than markets are currently anticipating, intensifying the buying interest for the pound. Ahead in the week, the key report from the UK labour market is due tomorrow, with consensus expecting the jobless rate to tick lower to 6.5% in the three months to May and the unemployment to have decreased by 27K in June. “Note that the pair consolidated lower below 1.7100 on Monday and may seek out the 1.7050 neighborhood in the near term as investors attempt to digest the less than sterling (no pun intended) data releases of late”, observed Emmanuel Ng, FX Strategist at OCBC Bank.
GBP/USD key levels
The pair is now up 0.44% at 1.7160 with the next resistance at 1.7168 (high Jul.10) ahead of 1.7203 (high Oct.21 2008). On the flip side, a breakdown of 1.7059 (low Jul.15) would expose 1.7050 (50% of 1.6920-1.7280).