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Forex pairs in this Article » GBP/USD (Moscow) - GBP/USD is nesting above 1.66 – it opened the day at 1.6636 and spent there the Asian trades trying to break higher.

The Pound may lose its fuel

After several attempts the pair managed to position itself above 1.66, and even go higher reaching 1.6642 not seen from May, 2011. It looks like the Pounds is on its place, and has good potential to resume the rise. The fact that it moved on positive EMU data only supports our idea – even negative moves of EUR/GBP didn’t affect the British currency. Nevertheless, there is one big problem – the MPC sentiment. The officials are reluctant to reduce accommodation, and the scheduled for today speech of Mark Carney may confirm it. If the market understands that the chairman is not going to adjust the policy in the short/medium term, the pair may rebound with initial target at 1.6609 support level followed by 1.6581

What are today’s key GBP/USD levels?

Today's central pivot point can be found at 1.6609, with support below at 1.6581 (S1), 1.6528 (S2) and 1.6500 (S3), with resistance above at 1.6662 (R1), 1.6690 (R2), and 1.6743 (R3). Hourly Moving Averages are bullish, with the 200SMA at 1.6449, and the daily 20EMA bullish at 1.6453. Hourly RSI is neutral at 63.
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