9 Jan 2014
GBP/USD will get nothing from the BOE
FXstreet.com (Moscow) - GBP/USD was not scared by the quite aggressive stance of FOMC members, and showed only mild correction from weekly high 1.6471 to 1.6448 where is trading from early Asian session.
Pound will have to give back all the gains
Today is the day of the BOE and the ECB meetings, but nobody expects anything from the former. The MPC already said everything it wanted without unnecessary hinting – “we are not going to reduce stimulus right now, and even if we see unemployment rate close to 7%, we will just make correction to our targets within forward guidance”. This notion may weaken the positions of GBP for today, especially after yesterday’s rally, and especially if Draghi and Co consider to keep ">EUR-positive silence today.
What are today’s key GBP/USD levels?
Today's central pivot point can be found at 1.6434, with support below at 1.6394 (S1), 1.6336 (S2) and 1.6296 (S3), with resistance above at 1.6492 (R1), 1.6532 (R2), and 1.6590 (R3). Hourly Moving Averages are largely bullish, with the 200SMA at 1.6468 and the daily 20EMA flat at 1.6407. Hourly RSI is neutral at 59.
Pound will have to give back all the gains
Today is the day of the BOE and the ECB meetings, but nobody expects anything from the former. The MPC already said everything it wanted without unnecessary hinting – “we are not going to reduce stimulus right now, and even if we see unemployment rate close to 7%, we will just make correction to our targets within forward guidance”. This notion may weaken the positions of GBP for today, especially after yesterday’s rally, and especially if Draghi and Co consider to keep ">EUR-positive silence today.
What are today’s key GBP/USD levels?
Today's central pivot point can be found at 1.6434, with support below at 1.6394 (S1), 1.6336 (S2) and 1.6296 (S3), with resistance above at 1.6492 (R1), 1.6532 (R2), and 1.6590 (R3). Hourly Moving Averages are largely bullish, with the 200SMA at 1.6468 and the daily 20EMA flat at 1.6407. Hourly RSI is neutral at 59.