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Forex pairs in this Article » GBP/USD (Athens) – The GBP/USD has been moving constantly higher since the kick off of the the Asian trading session but at a very tight range and well below 1.6000.

GBP/USD moves upwards amidst optimism on US debt and ahead of UK data

The GBP/USD has been trading higher since early opening trading session in Asia but still finds itself unable to overcome the 1.6000 handle. Regarding the US, there is widely spread optimism that we are very close to a deal, though there is nothing concrete yet as the House of Republicans has not yet given a substantive response. Rumors through news wires say that the Senate plan is to fund government through 15 January and lift the debt ceiling until February but nothing has been yet confirmed. Still, the optimism has again pushed the “risk-on” button therefore risk currencies and equities are on the upper level again. Traders should also bear into consideration that today we are ahead of very crucial UK data (CPI, PPI) that might influence the trend shift of the cross.

Technical Aspects on the GBP/USD

At the time of writing the pair is trading very close to 1.6000, 1.5994 up 0.08% on Washington hopes. The Trend Index shows the pair to be slightly bullish in the 15 minutes timeframe. Daily pivot point support can be found at 1.5968, 1.5927, 1.5889 and resistance at 1.6033, 1.6074 and 1.6114, respectively. Our personal technical aspect of view is that the recent break below 1.6000 area might have been a false one and the cross will soon try to overcome again the 1.6000 handle in order to move higher again near 1.6050 area, where the 21- daily MA lies.
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