GBP/USD eyes 1.5200

FXstreet.com (London) - GBP/USD position ahead of key economic data releases has the pair back into bearish territory.

GBP/USD has been long inflated and in overbought territory after a series of slightly better than anticipated UK data of the last 4 weeks against a back drop of there being some speculation that the FOMC would be less hawkish in the near term. However, despite disappointing US data yesterday, the pair has dropped sharply and is continuing to do so in the European opening hour ahead of what should prove to be a busy day with US GDP, ADP employment and FOMC.

GBP/USD breaking support

GBP/USD continues to chart weak performances on the day. The pair has continued to sell off from the 1.5432 peaks while the Elliott wave signals and TD counts continue to point to the downside. The pair has well and truly been through the 1.5265 support and now targets 1.5015 then 1.4854/32 support areas. Supports are from 1.5080, 1.5125, 1.5158, and 1.5199 while spot is currently 1.5210. Resistances are now 1.5295, 1.5329, 1.5360 and 1.5416

Flash: Central Banks hold court - OCBC Bank

Emmanuel Ng of OCBC Bank notes that apart from the antipodeans and the GBP, the majors were confined to recent ranges ahead of the FOMC statement (1800 GMT) and 2Q GDP numbers due later today.
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