GBPUSD Movement
For the 24 hours to 23:00 GMT, GBP fell 0.92% against the USD and closed at 1.5532, after the Bank of England (BoE) gave downbeat growth outlook for the UK economy and indicated that inflation would likely stay above its 2.0% target until early 2016.
Commenting on the report, the BoE Governor, Mervyn King stated that the UK growth is expected to be weak and the economy faces big challenges. He further stated that upward revision in the inflation outlook reflects the recent weakness in currency and increases in regulated prices.
In the Asian session, at GMT0400, the pair is trading at 1.5523, with the GBP trading marginally lower from yesterday’s close.
The pair is expected to find support at 1.5465, and a fall through could take it to the next support level of 1.5408. The pair is expected to find its first resistance at 1.5635, and a rise through could take it to the next resistance level of 1.5748.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
