13 Nov 2013
GBP/USD eyes 1.6000 on BoE
FXstreet.com (Edinburgh) -The sterling remains buoyant on Wednesday, pushing the GBP/USD to the boundaries of the psychological 1.6000 handle following a positive tone from the BoE.
GBP/USD propped up by BoE
The pair is on its way to test weekly highs in the 1.6010/20 band after the BoE now sees the jobless rate falling below the 7% threshold by Q3 2015 and expects the GDP to expand 0.9% QoQ in the fourth quarter. In addition, Governor Carney remarked the positive path of the recovery although he emphasized the need for extra investment. He also said inflation expectations remains anchored while he rejected the possibility of changing the 7% threshold.
GBP/USD levels to watch
As of writing the pair is up 0.46% at 1.5982 and a breakout of 1.5992 (high Nov.12) would bring 1.6000 (psychological level) and then 1.6007 (MA10d). On the downside, the initial support aligns at 1.5854 (low Nov.12) ahead of 1.5844 (50% of 1.5427-1.6260) and finally 1.5776 (low Sep12).
GBP/USD propped up by BoE
The pair is on its way to test weekly highs in the 1.6010/20 band after the BoE now sees the jobless rate falling below the 7% threshold by Q3 2015 and expects the GDP to expand 0.9% QoQ in the fourth quarter. In addition, Governor Carney remarked the positive path of the recovery although he emphasized the need for extra investment. He also said inflation expectations remains anchored while he rejected the possibility of changing the 7% threshold.
GBP/USD levels to watch
As of writing the pair is up 0.46% at 1.5982 and a breakout of 1.5992 (high Nov.12) would bring 1.6000 (psychological level) and then 1.6007 (MA10d). On the downside, the initial support aligns at 1.5854 (low Nov.12) ahead of 1.5844 (50% of 1.5427-1.6260) and finally 1.5776 (low Sep12).