GBP/USD Through 1.43 on UK CPI

GBP/USD Through 1.43 on UK CPI

12 April 2016, 11:10
Roberto Jacobs

GBP/USD Through 1.43 on UK CPI

The sterling continues its march north on Tuesday, now sending GBP/USD through the 1.4300 barrier, or daily highs.

GBP/USD firmer on CPI

The pair has gathered further steam after UK’s inflation figures have surprised to the upside during March, with consumer prices rising at an annual pace of 0.5% (vs. 0.4% exp.) and 0.4% inter-month (vs. 0.3% exp.).

Spot is thus advancing for the third consecutive session so far, bolstered as well by a persistent selling interest around the US dollar. With UK releases out of the way, the US docket will take centre stage later, with Export/Import Prices and speeches by Fed’s Lacker, Williams and Harker.

GBP/USD levels to consider

As of writing the pair is up 0.31% at 1.4286 and a breakout of 1.4460 (high Mar.30) would open the door to 1.4483 (100-day sma) and then 1.4517 (high Mar.18). On the other hand, the immediate support aligns at 1.4004 (low Apr.6) ahead of 1.3992 (23.6% Fibo of 1.3833-1.4517) and then 1.3833 (2016 low Feb.29).

(Market News Provided by FXstreet)

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