18 Feb 2014
GBP/USD dips below 1.6700
FXStreet (Edinburgh) - The sterling is now accelerating its correction lower, dragging the GBP/USD to challenge the key support at the 1.6700 handle.
GBP/USD attention to the CPI numbers
Inflation figures in the UK economy for the month of January are due later, with headline cpi expected to have increased 2.0%, matching December’s print. The Core reading is expected at 1.9% vs. 1.7% from the previous month. “Rising real household incomes this year relative to 2013 is the primary reason forecasters expect GDP growth to accelerate. This is expected to be driven by both stronger employment and softer price inflation”, notes Paul Robson, Senior FX Strategist at RBS.
GBP/USD significant levels
As of writing the pair is losing 0.04% at 1.6696 and a breakdown of 1.6644 (low Feb.14) would expose 1.6594 (low Feb.13). On the upside, the initial hurdle aligns at 1.6823 (2014 high Feb.17) followed by 1.6845 (high Nov.18 2009) and finally 1.6879 (high Nov.16 2009).
GBP/USD attention to the CPI numbers
Inflation figures in the UK economy for the month of January are due later, with headline cpi expected to have increased 2.0%, matching December’s print. The Core reading is expected at 1.9% vs. 1.7% from the previous month. “Rising real household incomes this year relative to 2013 is the primary reason forecasters expect GDP growth to accelerate. This is expected to be driven by both stronger employment and softer price inflation”, notes Paul Robson, Senior FX Strategist at RBS.
GBP/USD significant levels
As of writing the pair is losing 0.04% at 1.6696 and a breakdown of 1.6644 (low Feb.14) would expose 1.6594 (low Feb.13). On the upside, the initial hurdle aligns at 1.6823 (2014 high Feb.17) followed by 1.6845 (high Nov.18 2009) and finally 1.6879 (high Nov.16 2009).