GBP/USD allowed to drift in thin trade through 50 SMA

By FXStreet FXStreet (Guatemala) – GBP/USD is currently trading with a high of 1.5290 and up through the 50 SMA (1.5226) on the hourly chart, consolidating at 1.5280 resistance.

GBP/USD is making a minor recovery from below the 1.52 handle and garners some demand in oversold conditions, taking advantage of thinner conditions while the US have been out for labor day.

GBP/USD and BoE

The week ahead for the UK holds July Industrial Production on the 9th with risks to the downside of this release and then we have July Construction on the 11th. But key detail for the pound will come from the BoE meeting on the 10th as the minutes and vote will be published alongside the rate decision, so should give markets some detail to play on. Of particular interest will be details relating to the recent market volatility and how this may impact the UK’s inflation, and number of members voting to hold this month, given that is the outcome again while some analysts predict the BoE will be able to move in 2016.

GBP/USD levels

Technically, Karen Jones, chief analyst at Commerzbank explained that a close below 1.5233 would force us to adopt a more bearish stance as this …read more

Source:: FX Street