GBP USD Forecast | Daily Technical Analysis for February 2, 2017
GBP USD Technical Overview
Yesterday Closed 1.2660
Today Open 1.2660
Day’s Range 1.2654 – 1.2680
52 wk Range 1.1450 – 1.5020
1-Year Return – 12.01%
GBPUSD Technical Support and Resistance
Possible trading range for today 1.2654 – 1.2680
|Support 1: 1.2574||Resistance 1: 1.2684|
|Support 2: 1.2540||Resistance 2: 1.2718|
|Support 3: 1.2485||Resistance 3: 1.2773|
GBP USD Fundamental Analysis
The GBP USD pair had a pretty strong day yesterday as the pound is only one of the very few currencies that seems to be capable of holding on by itself whenever there is dollar strength. There seems to be some intrinsic strength built within the pound and the reason for that could be the continuing good economic data from the UK. This has been holding up the pound and that is the reason why the corrections have been shallow and have been met with some quick bounces.
Today is going to be a key day for the GBP USD pair as we have the BOE rate announcement and the policy meeting minutes and we also have the quarterly inflation report from the UK as well. The rate is expected to be kept on hold but the BOE will have to act out a tough balancing act as it needs to take care of the economy and also ensure that the impact of the Brexit doesn’t hit the economy too hard. With the government, yet unclear on how exactly the whole Brexit process is going to pan out, the markets would be expecting the BOE to help out and do the needful in a strong manner to give out some confidence to the market in the pound. It remains to be seen whether that is addressed in the statement and the inflation report. The pair is in a key area now and these data would be valuable in determining the short-term direction of the pound.