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14 Nov 2013
GBP/USD eyes 1.6100 as recovery sharpens
FXstreet.com (Edinburgh) - The sterling keeps pushing higher on Thursday, lifting the GBP/USD to test fresh weekly highs near the critical barrier at 1.6100.
GBP/USD boosted by Yellen, US data
US data below expectations – with wider trade deficit, poor productivity and flat initial claims – plus a markedly dovish tone from Janet Yellen’s testimony have collaborated with the upside, boosting the sentiment around the risk-appetite and leaving behind the miserable results from UK retail sales. “Poor weather probably exaggerated the decline, but real wages continue to be squeezed, as Carney noted yesterday, and utility price hikes and rising transportation costs will further sap discretionary purchasing power. Sterling held the $1.5985 area on the pullback, which corresponds to the minimal retracement objective of the rally in from the lows seen on Tuesday near $1.5850”.
GBP/USD levels to watch
As of writing the pair is up 0.37% at 1.6089 with next resistance at 1.6115 (high Nov.7) followed by 1.6118 (high Nov.6) and then 1.6123 (61.8 of 1.6258-1.5904). On the downside, a breach of 1.5879 (low Nov.13) would open the door to 1.5854 (low Nov.12) and finally 1.5844 (50% of 1.5427-1.6260).
GBP/USD boosted by Yellen, US data
US data below expectations – with wider trade deficit, poor productivity and flat initial claims – plus a markedly dovish tone from Janet Yellen’s testimony have collaborated with the upside, boosting the sentiment around the risk-appetite and leaving behind the miserable results from UK retail sales. “Poor weather probably exaggerated the decline, but real wages continue to be squeezed, as Carney noted yesterday, and utility price hikes and rising transportation costs will further sap discretionary purchasing power. Sterling held the $1.5985 area on the pullback, which corresponds to the minimal retracement objective of the rally in from the lows seen on Tuesday near $1.5850”.
GBP/USD levels to watch
As of writing the pair is up 0.37% at 1.6089 with next resistance at 1.6115 (high Nov.7) followed by 1.6118 (high Nov.6) and then 1.6123 (61.8 of 1.6258-1.5904). On the downside, a breach of 1.5879 (low Nov.13) would open the door to 1.5854 (low Nov.12) and finally 1.5844 (50% of 1.5427-1.6260).