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17 Jul 2015
GBP/USD: Bulls loose grip, flirting with 1.56 handle
FXStreet (Mumbai) - The GBP bulls ran out of steam, making way for the USD bulls to take control of the GBP/USD pair push it back to near 1.56 levels ahead of the inflation data in the US.
Focus on US CPI, offered above 1.5638
The pair has been offered for yet another time above 1.5638 (38.2% Fib R of June rally) ahead of the data in the US, which could show the cost of living ticked higher in June. The inflation as measured by the Consumer Price Index is seen rising 0.1% year-on-year. The core inflation is seen rising 1.8% year-on-year.
The US inflation data would be followed by housing starts and Fed vice chairman Fischer speech. The German Bundestag vote on Greek deal could also affect the overall market demand for the US dollars.
GBP/USD Technical Levels
The pair currently trades around 1.5604. The immediate resistance is seen at 1.5607 (23.6% Fib R of Apr-Jun rally) and 1.5638 (38.2% Fib R of June rally). On the flip side, support is seen at 1.5560 (50-DMA) and 1.54 handle.
Focus on US CPI, offered above 1.5638
The pair has been offered for yet another time above 1.5638 (38.2% Fib R of June rally) ahead of the data in the US, which could show the cost of living ticked higher in June. The inflation as measured by the Consumer Price Index is seen rising 0.1% year-on-year. The core inflation is seen rising 1.8% year-on-year.
The US inflation data would be followed by housing starts and Fed vice chairman Fischer speech. The German Bundestag vote on Greek deal could also affect the overall market demand for the US dollars.
GBP/USD Technical Levels
The pair currently trades around 1.5604. The immediate resistance is seen at 1.5607 (23.6% Fib R of Apr-Jun rally) and 1.5638 (38.2% Fib R of June rally). On the flip side, support is seen at 1.5560 (50-DMA) and 1.54 handle.