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23 Nov 2015
GBP/USD recovers to key fib after weak US data
FXStreet (Mumbai) - The GBP/USD pair took back its losses to trade largely unchanged on the day around 1.5180 after a batch of weaker-than-expected US data.
Recovery capped around 23.6% fib
The spot is struggling to maintain the momentum as it neared 1.5185 (23.6% of July 2014-April 2015 plunge). Sterling was the weakest in early US session and thus witnessed a sharp recovery from the low of 1.5125 on account of a weaker-than-expected US data – Chicago national Fed activity index, manufacturing PMI and existing home sales.
The gains might be capped as traders look out for the news on Fed’s meeting on discount rates.
GBP/USD Technical Levels
The immediate resistance is seen at 1.5185 (23.6% of July 2014-April 2015), above which the pair could rise to 1.5248 (50% of Apr-Jun rally). On the other hand, repeated failure to take out 1.5185 could open doors for a fall back to the daily low of 1.5125.
Recovery capped around 23.6% fib
The spot is struggling to maintain the momentum as it neared 1.5185 (23.6% of July 2014-April 2015 plunge). Sterling was the weakest in early US session and thus witnessed a sharp recovery from the low of 1.5125 on account of a weaker-than-expected US data – Chicago national Fed activity index, manufacturing PMI and existing home sales.
The gains might be capped as traders look out for the news on Fed’s meeting on discount rates.
GBP/USD Technical Levels
The immediate resistance is seen at 1.5185 (23.6% of July 2014-April 2015), above which the pair could rise to 1.5248 (50% of Apr-Jun rally). On the other hand, repeated failure to take out 1.5185 could open doors for a fall back to the daily low of 1.5125.