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31 Oct 2013
GBP/USD holds above 1.6000, for now
FXstreet.com (Córdoba) - Even though the GBP/USD is extending losses into a fifth day Thursday it has managed to take hold above 1.6000 after dipping to a 2-week low of 1.5998 in the wake of the Fed statement.
With recovery attempts being capped by the 1.6045 zone and amid mixed UK data, the GBP/USD fell to a low of 1.6004 during the European session but found support and was confined to a phase of consolidation. At time of writing, GBP/USD is trading at 1.6015, still 0.1% below its opening price.
In the data front, UK house prices rose 5.8% YoY in October, its biggest gain in 3-years, while GfK consumer confidence slipped for the first time in 6-months.
GBP/USD technical outlook
From a technical perspective, Stoyan Mihaylov, analyst at DeltaStock.com noted that the slide from 1.6250 is still underway, with a possible target at 1.5960 reversal zone and initial resistance at 1.6050. "Crucial on the upside is 1.6079 and a violation of that level will signal, that a bottom is already in place", the analyst added.
With recovery attempts being capped by the 1.6045 zone and amid mixed UK data, the GBP/USD fell to a low of 1.6004 during the European session but found support and was confined to a phase of consolidation. At time of writing, GBP/USD is trading at 1.6015, still 0.1% below its opening price.
In the data front, UK house prices rose 5.8% YoY in October, its biggest gain in 3-years, while GfK consumer confidence slipped for the first time in 6-months.
GBP/USD technical outlook
From a technical perspective, Stoyan Mihaylov, analyst at DeltaStock.com noted that the slide from 1.6250 is still underway, with a possible target at 1.5960 reversal zone and initial resistance at 1.6050. "Crucial on the upside is 1.6079 and a violation of that level will signal, that a bottom is already in place", the analyst added.