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26 Feb 2014
GBP/USD muted on UK GDP
FXStreet (Edinburgh) - The sterling is keeping the composure after the release of the UK figures, taking the GBP/USD to the area of 1.6690/1.6700.
GBP/USD unchanged post-GDP
There were no surprises in today’s GDP releases, showing that the UK economy expanded in line with estimates 0.7% inter-quarter during Q4 and 2.7% on a yearly basis. Further data also showed that Total Business Investment grew at an annual pace of 2.4% in Q4 vs. 2% from the previous quarter. “We note that the Elliott wave counts on the daily, weekly and monthly charts indicate that this is the end phase of the move and we would expect to see the intraday rallies remain capped by 1.6735 ahead of the 1.6819 recent high”, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.
GBP/USD relevant levels
As of writing the pair is up 0.13% at 1.6687 with the initial resistance at 1.6728 (high Feb.25) followed by 1.6741 (high Feb.18) and then 1.6800 (psychological level). On the downside, a breach of 1.6642 (low Feb.25) would open the door to 1.6583 (low Feb.24) and finally 1.6541 (21-d MA).
GBP/USD unchanged post-GDP
There were no surprises in today’s GDP releases, showing that the UK economy expanded in line with estimates 0.7% inter-quarter during Q4 and 2.7% on a yearly basis. Further data also showed that Total Business Investment grew at an annual pace of 2.4% in Q4 vs. 2% from the previous quarter. “We note that the Elliott wave counts on the daily, weekly and monthly charts indicate that this is the end phase of the move and we would expect to see the intraday rallies remain capped by 1.6735 ahead of the 1.6819 recent high”, noted Karen Jones, Head of FICC Technical Analysis at Commerzbank.
GBP/USD relevant levels
As of writing the pair is up 0.13% at 1.6687 with the initial resistance at 1.6728 (high Feb.25) followed by 1.6741 (high Feb.18) and then 1.6800 (psychological level). On the downside, a breach of 1.6642 (low Feb.25) would open the door to 1.6583 (low Feb.24) and finally 1.6541 (21-d MA).