GBP/USD recovers fairly quickly

By FXstreet.com | July 03, 2014 AAA

FXStreet (Córdoba) - Unlike the euro, pound losses versus the greenback were only short-lived as the GBP/USD bounced sharply from post-nonfarm payrolls lows and recovered almost completely the lost ground.



The GBP/USD fell to a 2-day low of 1.7095 as the knee-jerk reaction to US nonfarm payrolls. The greenback rallied across the board as the US jobs gain 288K came in well above consensus 213K.



However, the USD surrendered gains versus the pound as regardless these numbers, investors continue to bet the BoE will hike rates before the Fed and that very same reason took the Cable to a fresh 6-year high of 1.7176 yesterday. At time of writing, the GBP/USD is trading at 1.7143, still 0.12% below its opening price.



GBP/USD technical levels



As for technical levels, immediate supports for GBP/USD are seen at 1.7095 (Jul 3 & 1 lows), 1.7030 (10-day SMA) and 1.7007 (Jun 30 low). On the other hand, resistances could be found at 1.7176 (Jul 2 high), 1.7196/1.7200 (Oct 21 2008 high/psychological level) and then 1.7300 (psychological level).



comments powered by Disqus
Related Forex Analysis
  1. US Dollar Aims to Extend Advance, Gold and Crude Oil Range-Bound
    Forex News

    US Dollar Aims to Extend Advance, Gold and Crude Oil Range-Bound

  2. USD/JPY trying to get above 109.50
    Forex News

    USD/JPY trying to get above 109.50

  3. EUR/USD Technical Analysis: Euro Trying to Expose 1.26
    Forex News

    EUR/USD Technical Analysis: Euro Trying to Expose 1.26

  4. US Dollar Technical Analysis: Working on Fifth Straight Gain
    Forex News

    US Dollar Technical Analysis: Working on Fifth Straight Gain

  5. USD/JPY Technical Analysis: Range-Bound Below 110.00 Mark
    Forex News

    USD/JPY Technical Analysis: Range-Bound Below 110.00 Mark

Trading Center