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20 Aug 2015
GBP/USD bull taking charge and eye 200 DMA
FXStreet (Guatemala) - GBP/USD is currently trading at 1.5675 with a high of 1.5703 and a low of 1.5604.
GBP/USD remains supported making higher lows along the supporting and ascending trendline from the 1.51 zone. The price is currently targeting the 1.57 level and is performing well on the back of dollar weakness and the FOMC minutes yesterday that were dovish. The retail sales in the UK dented the pound to some extent but it remains resilient in the main part. The main engine behind the pound remains with the BoE and speculation that the Old Lady will be hiking rates in 2016, while some analysts predict even as close as Q1 in 2016.
GBP/USD technically eyes 200 DMA
Meanwhile, technically, Karen Jones, chief analyst at Commerzbank explained that GBP/USD continues to probe the end of July high at 1.5690. "Currently we remain unable to rule out further strength to the 200 week moving average at 1.5864 and possibly the 1.5930 June high. Failure here will see a slide back to the1.5424 current August low and the 200 day moving average at 1.5371."She added, "For a more negative stance to be adopted at this stage we will need a close below the July low at 1.5330. Meanwhile further upside probes cannot be ruled out."
GBP/USD remains supported making higher lows along the supporting and ascending trendline from the 1.51 zone. The price is currently targeting the 1.57 level and is performing well on the back of dollar weakness and the FOMC minutes yesterday that were dovish. The retail sales in the UK dented the pound to some extent but it remains resilient in the main part. The main engine behind the pound remains with the BoE and speculation that the Old Lady will be hiking rates in 2016, while some analysts predict even as close as Q1 in 2016.
GBP/USD technically eyes 200 DMA
Meanwhile, technically, Karen Jones, chief analyst at Commerzbank explained that GBP/USD continues to probe the end of July high at 1.5690. "Currently we remain unable to rule out further strength to the 200 week moving average at 1.5864 and possibly the 1.5930 June high. Failure here will see a slide back to the1.5424 current August low and the 200 day moving average at 1.5371."She added, "For a more negative stance to be adopted at this stage we will need a close below the July low at 1.5330. Meanwhile further upside probes cannot be ruled out."