FXStreet (Guatemala) – Valeria Bednarik, chief analyst at FXStreet explained that the British Pound was unable to attract investors, trading a few pips both sides of its daily opening from most of the day against its American rival.
Key Quotes:
“The UK calendar has been empty this Monday, but on Tuesday, BOE’s governor, Mark Carney, is due to testify on the Financial Stability Report before the Treasury Select Committee, in London, anticipating some action for the local currency.
The GBP/USD pair 1 hour chart however, shows an increasing bearish potential, given that the price has been below a mild bearish 20 SMA for most of the day, while the technical indicators lack directional strength within bearish territory.
In the 4 hours chart, the price has been finding some support around a slightly bullish 20 SMA, currently around 1.4230, while the Momentum indicator retreats from overbought territory and the RSI heads south around 49, in line with the shorter term perspective. The daily high was set at 1.4280, and a break above it should deny the downward potential, and favor a retest of the 1.4360 high posted last Friday.”
(Market News Provided by FXstreet)