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5 Jan 2015
GBP/USD bottoms at 1.5153 after harsh sell-off
FXStreet (Bali) - Trading in sync with a heavy Euro through interbank trading, the Pound got smashed in early Asia, with plenty of sell stops being triggered, taking the rate to its cheapest level since early August 2013 at 1.5153.
Considering that GBP/USD has fallen almost 5 cents in a straight line since Friday, from 1.5618 (31/12 high to be exact) to 1.5153, bargain-hunters are expected to be active on dips, aiming to make some quick pips. That said, it remains a dangerous proposition to own Sterling under the current environment, with virtually no bounces as liquidity continues to be very poor and demand for US Dollars is exceptionally strong across the FX space.
The Growth Aces Research Team notes: "The Bank Of England’s meeting is scheduled for this week (January 8). It is widely expected that the bank will keep interest rates unchanged. The strategy of GrowthAces.com for the GBP/USD is to sell on upticks in anticipation for a continuation of bearish trend."
Considering that GBP/USD has fallen almost 5 cents in a straight line since Friday, from 1.5618 (31/12 high to be exact) to 1.5153, bargain-hunters are expected to be active on dips, aiming to make some quick pips. That said, it remains a dangerous proposition to own Sterling under the current environment, with virtually no bounces as liquidity continues to be very poor and demand for US Dollars is exceptionally strong across the FX space.
The Growth Aces Research Team notes: "The Bank Of England’s meeting is scheduled for this week (January 8). It is widely expected that the bank will keep interest rates unchanged. The strategy of GrowthAces.com for the GBP/USD is to sell on upticks in anticipation for a continuation of bearish trend."