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18 Mar 2015
GBP/USD: FOMC big strength towards 1.5000 - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that the British Pound sunk early Europe, falling down to 1.4634 against the greenback, level not seen since mid 2010.
"The catalysts behind the fall were a static BOE, leaving its monetary policy unchanged, will all of the nine voting members agreeing on that, and weak wages growth according to the latest employment data. The pair however, recovered in the American session, soaring near the 1.4900 level with the FOMC."
"After a limited pullback, the pair resumes its advance, advancing above the mentioned high and with scope to continue advancing according to intraday charts. The 1 hour one, shows that the price has recovered above its 20 SMA, now gaining bullish slope, whilst the technical indicators head strongly north above in overbought territory."
"In the 4 hours chart the technical readings are also biased higher, with the RSI indicator strongly up near 61 after reaching oversold levels earlier in the day. Additional advances above the 1.4960 level should see the pair testing the 1.5000 critical resistance, with some selling interest expected to halt the advance there."
"The catalysts behind the fall were a static BOE, leaving its monetary policy unchanged, will all of the nine voting members agreeing on that, and weak wages growth according to the latest employment data. The pair however, recovered in the American session, soaring near the 1.4900 level with the FOMC."
"After a limited pullback, the pair resumes its advance, advancing above the mentioned high and with scope to continue advancing according to intraday charts. The 1 hour one, shows that the price has recovered above its 20 SMA, now gaining bullish slope, whilst the technical indicators head strongly north above in overbought territory."
"In the 4 hours chart the technical readings are also biased higher, with the RSI indicator strongly up near 61 after reaching oversold levels earlier in the day. Additional advances above the 1.4960 level should see the pair testing the 1.5000 critical resistance, with some selling interest expected to halt the advance there."