Back

GBP/USD: Recovery stalls near falling channel resistance

FXStreet (Mumbai) - The recovery in the GBP/USD from the NY session low of 1.4865 ran into offers near the falling channel resistance at 1.4933 in Asia.

Hovers around 1.4910

The pair turned lower from the high of 1.4929 levels to trade around 1.4920 levels. The bid tone on the USD strengthened yesterday as markets priced-in the possibility of the four rate hikes in 2016. Consequently, the GBP/USD pair fell from 1.5010 to 1.4865 levels before recovering to 1.4910 levels in Asia today.

The pair could track the Treasury yields in the European session. Later in the day, the US market services PMI and the regional manufacturing index could influence the pair.

GBP/USD Technical Levels

The immediate resistance is seen at 1.4933 (channel resistance), above which the gains could be extended to 1.50 levels. On the other hand, a break below 1.49 levels would expose the previous session’s low of 1.4865.

ECB’s Nowotny sees a “steady-hand policy” while analysing impact of Fed decision

The European Central Bank (ECB) Governing Council member Ewald Nowotny was on the wires earlier on the day and delivered some unexpected comments, noting that the Fed’s decision wasn’t surprising and formed part of the ECB’s expectations at its most recent meeting, when it decided to extend its quantitative easing program.
Leer más Previous

USD/CHF tracks USD lower, capped below 1h 20-SMA

After facing rejection at parity, USD/CHF keeps pushing lower in Asia, although hovers near the higher-end of the previous trading range.
Leer más Next