GBP/USD: finding support in rallying oil
- global fx
- Feb 3, 2015
- 1 min read
The GBP/USD pair temporarily dipped below the 1.5000 figure this Tuesday, down to 1.4987, drove by gravity rather than any fundamental release. The pair has been under pressure ever since toping around 1.5220 last week, and not even positive UK data is able to support the Pound, as improving manufacturing figures on Monday barely kept the pair above 1.5000. Oil price accelerating towards $ 51.00 a barrel and posting fresh 3-week's highs is however giving some support to the pair, that recovered up to current 1.5030 price zone.
Technically, the pair maintains a bearish tone as the 4 hours chart shows that the price develops below a bearish 20 SMA, whilst indicators remain in negative territory. Renewed selling interest below the 1.5000 figure should lead to a continued decline towards 1.4950, January low, while if this last gives up, 1.4920 comes next. To the upside, 1.5040/60 area is the resistance level to follow, as only some steady gains above it should see the pair advancing up to the 1.5100 price zone.
