Closed in NY at $1.6167, after rate had bounced back from post GDP release lows of $1.6082 to $1.6183 as it took full advantage of the USD sell off as market reacted to dovish comments from Ben Bernanke (leaves door ajar to possible QE3) in his post FOMC press conference. Rate consolidated this bounce back in Asia with trade contained within a range of $1.6159/78, trading around $1.6170 into early Europe. Release of upbeat consumer confidence data from the Nationwide was seen aiding buoyancy. CBI data at 1000GMT the domestic highlight ahead of US weekly jobless claims. Offers seen placed from above $1.6180 and extend toward the reported barrier interest at $1.6200. A break here to open a move toward $1.6220/25. Support $1.6159 (Asia low and 23.6% $1.6082-1.6183) a break to open a deeper move toward $1.6135/30 ahead of $1.6110/00 with stronger interest remaining in place into $1.6080. Stops remain below from $1.6075 through to $1.6055. EUR/GBP consolidated its corrective pullback, which had seen rate ease from post UK GDP highs of stg0.8222 to stg0.8167 between stg0.8174-81 in Asia.
EasyForexNews Research Team