FXStreet (Barcelona) - FXStreet Chief Analyst Valeria Bednarik comments on the GBP/USD price action following the release of BoE minutes today, revealing that two MPC members voted in favor of a rate hike.
"The 4 hours chart shows price stalled at 1.6678, right below its 20 SMA in the mentioned time frame that maintains a clear bearish slope."
"Momentum maintains its bearish slope and stands near oversold levels, while RSI barely corrects higher, both well into negative territory."
"Furthermore, price retraced back to 1.6650 price zone, 200 DMA suggesting data is not enough to revert current bearish trend."
"Some consolidation should be expected now, yet as long as the high holds, the upside will remain limited, with a break below 1.6600 putting the pair back in the bearish track towards 1.6540/60 price zone."
"A steady advance beyond 1.6680 on the other hand, may see price attempting a recovery towards 1.6730, where a daily descendant trend line coming from this year high should halt further advances."