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6 Feb 2013
Forex: GBP/USD easing back to lows
The GBP/USD all gains, with a high at 1.5804, after the release of UK Halifax House Prices and found its low at 1.5632. Since then, it has been a stale trading limited by 1.5678 on the upside. As the market moves on the US session, the pair is approaching its lows again.
UK Halifax House Prices dropped -0.2% in January, as expected. 3M/YoY data rose from -0.3% to 1.3%, not as high as the 1.5% expected. Earlier, the UK BRC Shop Price Index rose 0.6% in January (MoM), at a lower pace than December's 1.5% rise.
BoE's Carney will testify tomorrow and might overshadow the monetary policy announcement. “The BoE should leave QE unchanged, though an increase or tweak to FLS is not inconceivable”, wrote TD Securities analyst Richard Kelly, adding that “the BoE is likely to announce a reinvestment of the £6.1bn maturing in March to keep the APF unchanged, but the BoE could push gilt yields slightly lower at no cost to them by simply committing to reinvest maturing bonds in the future”.
“The local peak at 1.5802 signals, that the consolidation pattern above 1.5673 low is already over and the outlook here is bearish, for a slide towards 1.5470”, wrote Deltastock.com analyst Stoyan Mihaylov, pointing to initial resistance is projected at 1.5670-80 and crucial on the upside is 1.5800.
UK Halifax House Prices dropped -0.2% in January, as expected. 3M/YoY data rose from -0.3% to 1.3%, not as high as the 1.5% expected. Earlier, the UK BRC Shop Price Index rose 0.6% in January (MoM), at a lower pace than December's 1.5% rise.
BoE's Carney will testify tomorrow and might overshadow the monetary policy announcement. “The BoE should leave QE unchanged, though an increase or tweak to FLS is not inconceivable”, wrote TD Securities analyst Richard Kelly, adding that “the BoE is likely to announce a reinvestment of the £6.1bn maturing in March to keep the APF unchanged, but the BoE could push gilt yields slightly lower at no cost to them by simply committing to reinvest maturing bonds in the future”.
“The local peak at 1.5802 signals, that the consolidation pattern above 1.5673 low is already over and the outlook here is bearish, for a slide towards 1.5470”, wrote Deltastock.com analyst Stoyan Mihaylov, pointing to initial resistance is projected at 1.5670-80 and crucial on the upside is 1.5800.