GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP rose 0.59% against the USD and closed at 1.6423, after the Bank of England (BoE) Governor, Mark Carney, in a speech in New York, stated that UK economic news “has been positive” and that Britain’s economic recovery is showing signs that it can reach self-sustaining momentum. However, Mr. Carney also stated that the central bank’s monetary policy would remain exceptionally loose for some time, in order to spur growth and repair the nation’s stricken banking sector.
In the Asian session, at GMT0400, the pair is trading at 1.6460, with the GBP trading 0.23% higher from yesterday’s close. Earlier today, a report from UK showed that the RICS housing price balance in the nation rose to 58.0% in November, less than market estimate for a rise to 60.0% and compared to a level of 57% registered in the preceding month.
The pair is expected to find support at 1.6376, and a fall through could take it to the next support level of 1.6293. The pair is expected to find its first resistance at 1.6505, and a rise through could take it to the next resistance level of 1.6551.
Later today, market participants would closely watch for UK’s trade balance, manufacturing and industrial production data, ahead of NIESR’s report on UK GDP estimate.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
