Closed in NY at $1.6021 after rate had extended Wednesday’s post BOE Minutes induced rally to $1.6043. Trade through the overnight Asian session was contained within a $1.6015/35 range as the pound consolidated Wednesday’s gains. Rate was trading around $1.6020 into early European dealing. EUR/GBP, which had seen lows of stg0.8174 Wednesday consolidated the break below stg0.8200 between stg0.8183-0.81905. Very light UK calendar for today (in Europe), with BOE Posen speaking at 1700GMT to be of interest later, with analysts looking for his reasons for the change of heart as regards his vote for no change in QE at the last meeting. Cable offers seen placed between $1.6040/50, a break to expose the recent Apr2 highs at $1.6063. Support remains at $1.6015, with bids seen placed down to $1.6000 with stops below. A break here to open a deeper move toward $1.5985 with further demand seen to $1.5970. Below here and rate can ease toward $1.5950. In EUR/GBP, bids stg0.8175/70 with stops below, a break to expose stronger interest at stg0.8155/50. Resistance remains into stg0.8200.
EasyForexNews Research Team