FXStreet (Guatemala) – Omkar Godbole, Editor and Analyst at FXStreet explained the conditions surrounding GBP/USD.
Key Quotes:
“the UK average hourly earnings turned out to be the most important data. A better than expected figure (2.7%) pushed the GBP/USD pair to a high of 1.5746.”
“It is worth noting that the rise is driven by UK factors and not Us factors. With the rise in the hourly earnings, the rate hike itch is back in the UK.”
“With pair rising over and above 1.57 ahead of the FOMC, the doors are now open for a test of the inverted head and shoulder neckline at 1.5930.”
“A resistance at the 2015 high of 1.5813, although a dovish tilt could easily help cable breach the same and rise to 1.5930-1.5940.”
(Market News Provided by FXstreet)