GBP/USD lows of today critical support – Scotiabank

By FXStreet FXStreet (Guatemala) – Shaun Osborne Chief FX Strategist at Scotiabank explained that GBP/USD risks posting a bearish “engulfing” candle on the daily chart today – indicative of price strongly rejecting the 40-day MA.

Key Quotes:

“We see resistance at 1.5175/85 intraday. Minor support emerge near the lows seen last Thursday and Friday. Weakness below here intraday will see losses pick up.

UK house prices fell in December (-1.1%, according to Rightmove). Early week focus will fall on CPI data (Tuesday, market expects +0.1% Y/Y for the headline rate), amid concerns that weaker energy prices may keep inflation subdued, making the BoE’s intention to normalize interest rates later in 2016 that much harder.”
For more information, read our latest forex news. …read more

Source:: FX Street