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22 May 2014
GBP/USD to shift to the downside on BoE splits?
FXStreet (Guatemala) - GBP/USD is trading at 1.6864, down -0.19% on the day, having posted a daily high at 1.6920 and low at 1.6851.
GBP/USD spot is in neutral territory according to the hourly FXStreet OB/OS Index, while the FXStreet Trend Index is slightly bearish. Jane Foley, Senior Currency Strategist at Rabobank explained that while they see risk of GBP’s mood remaining soggy near-term, there is the risk that the UK recovery may start to draw out the MPC hawks in the coming months. “There has been no divergence in votes pertaining to QE since June 2013 and none on interest rate policy since July 2011. However, the minutes of the April meeting hint that this may soon change. Specifically the minutes report that the MPC “had a range of opinion” on how much slack was remaining in the economy”.
GBP/USD Levels
Current price is 1.6864, with resistance ahead at 1.6871 (Hourly 20 EMA), 1.6884 (Daily Classic PP), 1.6899 (Weekly High), 1.6899 (Weekly Classic R1) and 1.6900 (Daily Open). Next support to the downside can be found at 1.6851 (Daily Low), 1.6848 (Hourly 100 SMA), 1.6846 (Daily Classic S1), 1.6833 (Daily 20 SMA) and 1.6832 (Hourly 200 SMA).
GBP/USD spot is in neutral territory according to the hourly FXStreet OB/OS Index, while the FXStreet Trend Index is slightly bearish. Jane Foley, Senior Currency Strategist at Rabobank explained that while they see risk of GBP’s mood remaining soggy near-term, there is the risk that the UK recovery may start to draw out the MPC hawks in the coming months. “There has been no divergence in votes pertaining to QE since June 2013 and none on interest rate policy since July 2011. However, the minutes of the April meeting hint that this may soon change. Specifically the minutes report that the MPC “had a range of opinion” on how much slack was remaining in the economy”.
GBP/USD Levels
Current price is 1.6864, with resistance ahead at 1.6871 (Hourly 20 EMA), 1.6884 (Daily Classic PP), 1.6899 (Weekly High), 1.6899 (Weekly Classic R1) and 1.6900 (Daily Open). Next support to the downside can be found at 1.6851 (Daily Low), 1.6848 (Hourly 100 SMA), 1.6846 (Daily Classic S1), 1.6833 (Daily 20 SMA) and 1.6832 (Hourly 200 SMA).