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17 Jul 2015
GBP/USD steadies on 1.56 after strong recovery
FXStreet (Guatemala) - GBP/USD is currently trading at 1.5607 with a high of 1.5651 and a low of 1.5559.
GBP/USD bulls have recovered from the mid way point of the handle and target ground at 1.5620 but have so far been unable to hold fort yet remain in the vicinity as we move over to early Asia last trading session for the week.
GBP/USD has been a volatile day with both sellers and buyers taking the baton while the central banks come back in to focus as markets search for yield with less uncertainty out of the way in respect of the Greek debacle. Carney has been driving Sterling this week when suggesting that rate hikes are n the way when he said, "The point at which interest rates may begin rising is moving closer." Meanwhile, Yellen has offered a hawkish tone this week as well and the greenback is taking the top spot in Central Bank divergences.
Technically, Karen Jones, chief analyst at Commerzbank explained that their negative bias remains intact and we look for rallies to remain capped by 1.5700 and trigger a slide towards support at 1.5171, the June low and favour losses beyond here. "Above 1.5700 will force us to neutralise our outlook and allow for another punch up towards 1.5813 and 1.5930, the highs that we saw in May and June. If seen, we look for these to again hold."
GBP/USD bulls have recovered from the mid way point of the handle and target ground at 1.5620 but have so far been unable to hold fort yet remain in the vicinity as we move over to early Asia last trading session for the week.
GBP/USD has been a volatile day with both sellers and buyers taking the baton while the central banks come back in to focus as markets search for yield with less uncertainty out of the way in respect of the Greek debacle. Carney has been driving Sterling this week when suggesting that rate hikes are n the way when he said, "The point at which interest rates may begin rising is moving closer." Meanwhile, Yellen has offered a hawkish tone this week as well and the greenback is taking the top spot in Central Bank divergences.
Technically, Karen Jones, chief analyst at Commerzbank explained that their negative bias remains intact and we look for rallies to remain capped by 1.5700 and trigger a slide towards support at 1.5171, the June low and favour losses beyond here. "Above 1.5700 will force us to neutralise our outlook and allow for another punch up towards 1.5813 and 1.5930, the highs that we saw in May and June. If seen, we look for these to again hold."