Market removing interest rate pricing in GBP - FXStreet

By FXstreet.com | Updated August 22, 2014 AAA

FXStreet (Guatemala) - Camilla Sutton, CFA, CMT, Chief FX Strategist at Scotiabank suggests, for now, the market focus is on removing some of the more aggressive interest rate pricing.



Key quotes:



"Diverging internal views hints at a BoE who is moving towards interest rate hikes. GBP looks vulnerable to test down to the March low of 1.6460; but we would expect some retracement after that as the BoE is likely to be the first of the G4 to hike rates."



"GBP/USD short‐term technicals: bearish—with no warnings on the daily or weekly charts yet. Accordingly the nearterm risk is further downside; with support fairly limited until reaching the March low of 1.6460."



You May Also Like

Related Forex Analysis
  1. Forex News

    Pound May Rise as 4Q UK GDP Data Boosts BOE Rate Hike Bets

  2. Forex News

    Solid UK Q4 GDP expected - RBS

  3. Forex News

    Key events ahead for today - Rabobank

  4. Forex News

    GBP/USD in to overbought territory - FXStreet

  5. Forex News

    GBP/USD Technical Analysis: Pound Attempts a Bounce

Trading Center