GBP/USD unstoppable, breaks through 1.6950

By FXstreet.com | June 12, 2014 AAA

FXStreet (Bali) - GBP/USD just keeps on rising, having reached a session high of 1.6957 following BoE Carney's comments in reference to interest rates.

Mark Carney said that the beginning of the long-awaited UK tightening cycle, “could happen sooner than markets currently expect”. Mr Carney also said that measures being taken to cool down the housing market in the UK will not be a substitute to potentially replace intentions on interest rate increases.

Jim Langlands, Founder at FXCharts, shares his take on the latest headlines by Carney. According to Jim, "given that he made his comments right at the kick off of the world cup, all UK dealers will be glued to the telly and probably do not yet realise that he has spoken, so further upside potential looks probable when London walk in later today."

On the key levels to watch, Jim adds: "Minor resistance is to be seen at 1.6970 and then at the recent 1.6994 high. 1.7000 will be actively protected, but a break would bring the August 20009 high into play at 1.7041. Bids will now be seen at 1.6900 and below here at 1.6875. Buying dips seems to be the plan, although they look likely to be few and far between."

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