GBP/USD Nears 1.43, Trades Above Hourly 200-MA
Dollar selling is gathering pace in early US, courtesy of which the GBP/USD pair has taken out hourly 200-MA of 1.4265 and is now eyeing 1.43 handle.
Negative rate hike talks weighs over USD
Fed’s Williams was on the wires stating the central bank has studied negative rates carefully, but maintained there are no plans to implement them in foreseeable future. However, the negative rate hike talk amid policy tightening is rattling USD bulls; consequently, the spot clocked a high of 1.4296.
Ahead in the day, the focus is on the Fed President Yellen speech. Markets are interested to see if Yellen backs her colleagues’ hawkish view or back tracks further towards dovish side.
GBP/USD Technical Levels
The immediate hurdle is seen at 1.43 (zero figure), above which prices could test 1.4330 (23.6% of 1.5930-1.3835). On the other hand, a breakdown of immediate support at 1.4265 (hourly 200-MA) would expose 1.4190 (hourly 50-MA).
(Market News Provided by FXstreet)