GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP fell 0.42% against the USD and closed at 1.6164, as the minutes from the Bank of England (BoE) latest policy meeting, highlighted policymakers’ unanimous decision to refrain from altering its loose monetary policies to support recovery in the British economy. The central bank’s Monetary Policy Committee (MPC) voted 9-0 to keep its benchmark interest rate at 0.50% and maintain its bond-buying quantitative easing scheme at £375 billion. However, policymakers’ confidence in the robust recovery of the UK economy, limited Sterling’s losses.
On the economic front, a report showed that the BBA mortgage approvals in the UK rose to a level of 43,000 in the month of September, more than analysts’ estimate for a growth of 39,400 and compared to a reading of 38,800 registered in the preceding month.
In the Asian session, at GMT0300, the pair is trading at 1.6198, with the GBP trading 0.21% higher from yesterday’s close.
The pair is expected to find support at 1.6126, and a fall through could take it to the next support level of 1.6053. The pair is expected to find its first resistance at 1.6265, and a rise through could take it to the next resistance level of 1.6331.
Investors are awaiting BoE Governor, Mark Carney’s speech scheduled later today, to get further direction in the Pound.
The currency pair is trading just above its 20 Hr and 50 Hr moving averages.
