FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that explained that the GBP/USD soared to a fresh multiyear high of 1.7190.
“Supported by a spike in inflation in the UK that surged to 1.9% yearly basis after the 4 year low known last month”.
“Initial reaction against the greenback with Yellen statement did the rest, albeit general dollar demand finally weighted on the pair that anyway held pretty well into positive territory”.
“The hourly chart shows indicators still near overbought levels and flat, showing little aims of a downward correction, while 20 SMA presents a strong bullish slope currently around 1.7120 acting as immediate short term support”.
“In the 4 hours chart a mild positive tone prevails with indicators above their midlines, also showing no directional strength”.
“Support levels: 1.7120 1.7095 1.7060”.
“Resistance levels: 1.7180 1.7220 1.7250”.