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27 Mar 2015
GBP/USD: hovers around 1.49
FXStreet (Mumbai) - The Pound was offered post the release of the US Q4 GDP report, pushing the GBP/USD pair down to 1.4892, however, the relative strength in the UK Gilt yields pushed the pair back above 1.49.
Pound supported by Carney’s comments
The pair did drop to 1.4880, although the British Pound still remains supported by the hawkish comments from the BOE’s Carney and Broadbent. Moreover, the benchmark bond yield spread remains in favor of the British Pound. The 10-year Gilt yield currently trades 1.3 basis points lower, while the 10-year Treasury yield trades lower by 3.4 basis points.
Investors now look at US Michigan consumer sentiment index and Yellen speech for further direction in the pair.
GBP/USD Technical Levels
The immediate resistance is seen at 1.4952, above which the pair could rise to 1.50 levels. On the flip side, a failure to sustain above 1.49 could drive the pair lower to 1.4850 levels.
Pound supported by Carney’s comments
The pair did drop to 1.4880, although the British Pound still remains supported by the hawkish comments from the BOE’s Carney and Broadbent. Moreover, the benchmark bond yield spread remains in favor of the British Pound. The 10-year Gilt yield currently trades 1.3 basis points lower, while the 10-year Treasury yield trades lower by 3.4 basis points.
Investors now look at US Michigan consumer sentiment index and Yellen speech for further direction in the pair.
GBP/USD Technical Levels
The immediate resistance is seen at 1.4952, above which the pair could rise to 1.50 levels. On the flip side, a failure to sustain above 1.49 could drive the pair lower to 1.4850 levels.