Back
11 Feb 2014
GBP/USD high approaching 1.6490; just lacking conviction
FXStreet (Guatemala) - GBP/USD has made a series of runs towards and to challenge the 1.65 handle, but it's lack conviction as supply caps the pair on each attempt.
GBP/USD has made a high of 1.6490 post Yellen’s Semiannual Monetary Policy Report to the Congress was published and her accompanying speech. Her statements caused some alarm in the words around adeteriorating outlook for the job market or serious concerns over too-low inflation could cause shift in policy, and a pause would be considered if notable change in the outlook. The dollar is being tugged and pulled about as a result. From the calendar else where, there isn’t a huge amount to report from. However, overnight in the form of BRC Retail sales for the UK the figure grew at the fastest pace for almost four years with like for like sales growing by 3.9%, bringing the largest monthly increase since March 2010. Technically. Karen Jones, chief analyst at Commerzbank said, “From a longer term perspective we believe that the market has recently topped. The market has recently failed at tough resistance - the 1.6745 May 2011 peak, the 200 month ma at 1.6635 and the inter-year pivot line at 1.6657. The convergence of resistance at this juncture together with the TD perfected set up on the weekly chart all suggests that the market has topped”.
GBP/USD Levels
The 20 DMA is 1.6445, the 50 DMA is 1.6419 and the 200 DMA is 1.5844. RSI (14) reads 67.49. Supports are ascending from 1.6295, 1.6325, 1.6348, 1.6384, 1.6420. Spot is 1.6464 and resistances are 1.6460, 1.6471 and 1.6500.
GBP/USD has made a high of 1.6490 post Yellen’s Semiannual Monetary Policy Report to the Congress was published and her accompanying speech. Her statements caused some alarm in the words around adeteriorating outlook for the job market or serious concerns over too-low inflation could cause shift in policy, and a pause would be considered if notable change in the outlook. The dollar is being tugged and pulled about as a result. From the calendar else where, there isn’t a huge amount to report from. However, overnight in the form of BRC Retail sales for the UK the figure grew at the fastest pace for almost four years with like for like sales growing by 3.9%, bringing the largest monthly increase since March 2010. Technically. Karen Jones, chief analyst at Commerzbank said, “From a longer term perspective we believe that the market has recently topped. The market has recently failed at tough resistance - the 1.6745 May 2011 peak, the 200 month ma at 1.6635 and the inter-year pivot line at 1.6657. The convergence of resistance at this juncture together with the TD perfected set up on the weekly chart all suggests that the market has topped”.
GBP/USD Levels
The 20 DMA is 1.6445, the 50 DMA is 1.6419 and the 200 DMA is 1.5844. RSI (14) reads 67.49. Supports are ascending from 1.6295, 1.6325, 1.6348, 1.6384, 1.6420. Spot is 1.6464 and resistances are 1.6460, 1.6471 and 1.6500.