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28 Aug 2013
GBP/USD unstable at 1.5500 region
FXstreet.com (New York) - The GBP/USD foreign exchange rate regained the 1.5500 level recently, wavering after recent US data as the pair trades sporadically.
In the United States, Pending Home Sales (MoM) fell -1.3% in July, missing estimates of +0.2%. Moreover, Pending Home Sales (YoY) grew +10.95% in July, compared to +10.90% previously. Earlier today Mark Carney stated that the UK recovery broad-based and forward guidance does not prevent BoE from adding to stimulus; he also championed the BOE to relax liquidity rules for banks meeting 7% capital level.
At this juncture, the GBP/USD is now trading at 1.5518, incurring a loss of -0.22% off its opening. Briefing the technicals, the GBP/USD will encounter means of support at 1.5485, ahead of 1.5433, and 1.5384, notes the Mataf.net analyst team.
GBP/USD strategic bias
According to the Technical Analyst Team at ICN.com, “The GBP/USD achieved further bearishness and has stabilized below 1.5550 levels, which is the main reason behind the downside move. RSI is showing a negative bias below line 50, in addition to the negativity showing on Linear Regression Indicator 34. Therefore, we hold on to our negative expectations based on breaking 78.6% correction triggering further bearishness to test 61.8% correction at 1.5390.”
In the United States, Pending Home Sales (MoM) fell -1.3% in July, missing estimates of +0.2%. Moreover, Pending Home Sales (YoY) grew +10.95% in July, compared to +10.90% previously. Earlier today Mark Carney stated that the UK recovery broad-based and forward guidance does not prevent BoE from adding to stimulus; he also championed the BOE to relax liquidity rules for banks meeting 7% capital level.
At this juncture, the GBP/USD is now trading at 1.5518, incurring a loss of -0.22% off its opening. Briefing the technicals, the GBP/USD will encounter means of support at 1.5485, ahead of 1.5433, and 1.5384, notes the Mataf.net analyst team.
GBP/USD strategic bias
According to the Technical Analyst Team at ICN.com, “The GBP/USD achieved further bearishness and has stabilized below 1.5550 levels, which is the main reason behind the downside move. RSI is showing a negative bias below line 50, in addition to the negativity showing on Linear Regression Indicator 34. Therefore, we hold on to our negative expectations based on breaking 78.6% correction triggering further bearishness to test 61.8% correction at 1.5390.”