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17 Jul 2013
GBP/USD consolidates gains above 1.5200
FXstreet.com (Edinburgh) -The sterling keeps the upbeat tone on Wednesday after the BoE left intact its monetary policy, lifting the GBP/USD beyond 1.5200 the figure.
GBP/USD bolstered by unchanged BoE
The central bank surprised investors delivering a 9-0 vote in favour of keeping the status quo in the monetary policy – repo rate and Gilt purchases, triggering a steep bull run to test fresh highs in the boundaries of 1.5250. “The key conclusion we take from the July Minutes is not so much that they represent a 'hawkish' move but rather that the MPC's policy focus is gravitating away from QE and longer-dated rates and towards Bank Rate expectations and the shorter end of the curve”, noted Ross Walker, Analyst at RBS.
GBP/USD levels to watch
As of writing the pair is up 0.35% at 1.5212 with the next resistance at 1.5247 (high Jul.17) ahead of 1.5249 (high Jul.1) and then 1.5284 (50% of 1.4832-1.5753). On the flip side, a breakdown of 1.5080 (low Jul.17) would open the door to 1.5059 (MA10d) and then 1.5046 (low Jul.16).
GBP/USD bolstered by unchanged BoE
The central bank surprised investors delivering a 9-0 vote in favour of keeping the status quo in the monetary policy – repo rate and Gilt purchases, triggering a steep bull run to test fresh highs in the boundaries of 1.5250. “The key conclusion we take from the July Minutes is not so much that they represent a 'hawkish' move but rather that the MPC's policy focus is gravitating away from QE and longer-dated rates and towards Bank Rate expectations and the shorter end of the curve”, noted Ross Walker, Analyst at RBS.
GBP/USD levels to watch
As of writing the pair is up 0.35% at 1.5212 with the next resistance at 1.5247 (high Jul.17) ahead of 1.5249 (high Jul.1) and then 1.5284 (50% of 1.4832-1.5753). On the flip side, a breakdown of 1.5080 (low Jul.17) would open the door to 1.5059 (MA10d) and then 1.5046 (low Jul.16).