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4 Sep 2014
GBP/USD eases to 1.6440 after BoE
FXStreet (Edinburgh) - The sterling is trading in a softer tone on Thursday, pushing the GBP/USD to the 1.6445/40 area.
GBP/USD ignored BoE decision
As widely expected by the FX community, the BoE left its benchmark rate at 0.5% and its assets purchase facility at £375 billion in today’s MPC meeting. Spot barely reacted as the event was utterly priced in, and also traders consider the upcoming minutes as more relevant. It is worth noting that August’s meeting minutes showed a 7-2 voting pattern, with MPC members favouring unchanged interest rates. “We therefore doubt that Ian McCafferty and Martin Weale were joined by any other members of the MPC in voting for a rate rise today”, suggested James Knightley, Analyst at ING Bank.
GBP/USD significant levels
As of writing the pair is losing 0.10% at 1.6445 with the immediate support at 1.6440 (low Sep.3) followed by 1.6425 (low Feb.12) and then 1.6392 (low Feb.11). On the flip side, a break above 1.6498 (high Sep.3) would open the door to 1.6544 (10-d MA) and finally 1.6615 (high Sep.2).
GBP/USD ignored BoE decision
As widely expected by the FX community, the BoE left its benchmark rate at 0.5% and its assets purchase facility at £375 billion in today’s MPC meeting. Spot barely reacted as the event was utterly priced in, and also traders consider the upcoming minutes as more relevant. It is worth noting that August’s meeting minutes showed a 7-2 voting pattern, with MPC members favouring unchanged interest rates. “We therefore doubt that Ian McCafferty and Martin Weale were joined by any other members of the MPC in voting for a rate rise today”, suggested James Knightley, Analyst at ING Bank.
GBP/USD significant levels
As of writing the pair is losing 0.10% at 1.6445 with the immediate support at 1.6440 (low Sep.3) followed by 1.6425 (low Feb.12) and then 1.6392 (low Feb.11). On the flip side, a break above 1.6498 (high Sep.3) would open the door to 1.6544 (10-d MA) and finally 1.6615 (high Sep.2).