GBP/USD Recedes to 1.4450 as Carney’s Presser Gets Underway
The GBP/USD pair
gave back almost entire BOE-led gains and now trades modestly flat,
reacting to the cautious remarks delivered by the BOE Governor Carney at
the BOE press conference.
GBP/USD back to square one
The cable is seen defending mild gains, reversing a knee-jerk spike to 1.4496 levels after the pound received a fresh boost from the BOE’s MPC statement, noting that the central bank remains confident that irrespective of the consequences of the EU referendum, the inflation expectations remain well anchored.
However, the major now trims gains as markets assess the comments on Brexit from BOE Governor Mark Carney as he responds to the Q & A session at press conference.
Looking ahead, the outcome of the BOE events will continue to drive the flows around the GBP/USD pair ahead of the US jobless claims and Fed speeches due later in the American session.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.4496/1.4500 (post-BOE high/ round number), above which 1.4550 (psychological levels) would be tested. On the flip side, support is seen at 1.4400 (round number) below that at 1.4349/47 (100-DMA/ daily S2).