Back
16 Jun 2015
GBP/USD retakes losses, trades above 1.56
FXStreet (Mumbai) - The GBP/USD pair recovered post-inflation losses to trade above 1.56 levels as the UK gilt yields pared losses.
Pound outperforms other major currencies
The British Pound has turned out to be a major beneficiary of the slight weakness in the USD seen across the board in the last one hour. The initial reaction post inflation data was to ditch the GBP in response to slightly weaker-than-expected core inflation. However, the headline inflation returned to positive territory in April, which helped the GBP outperform other major currencies against the USD.
The US calendar offers housing data today. The offers on the USD may strengthen further if the data fails to meet the market expectations.
GBP/USD Technical Levels
The pair now trades at 1.5608. The immediate resistance is seen at 1.5630, above which gains could be extended to 1.5660. On the flip side, a break below 1.5566 could see the pair re-test 1.56 levels.
Pound outperforms other major currencies
The British Pound has turned out to be a major beneficiary of the slight weakness in the USD seen across the board in the last one hour. The initial reaction post inflation data was to ditch the GBP in response to slightly weaker-than-expected core inflation. However, the headline inflation returned to positive territory in April, which helped the GBP outperform other major currencies against the USD.
The US calendar offers housing data today. The offers on the USD may strengthen further if the data fails to meet the market expectations.
GBP/USD Technical Levels
The pair now trades at 1.5608. The immediate resistance is seen at 1.5630, above which gains could be extended to 1.5660. On the flip side, a break below 1.5566 could see the pair re-test 1.56 levels.