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6 Feb 2015
GBP/USD marking 5 week highs - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that GBP/USD trades near a fresh 5-week high of 1.5342 early in the Asian session.
Key Quotes:
"Boosted by broad dollar weakness and stronger than expected house prices in January in the UK according to the Halifax measure, which rose 2.0% m/m."
"December data was also revised up to +1.1% m/m from 0.9% m/m. The January y/y figure came in at +8.5%, up from 7.8% y/y. The Bank of England had its monthly economic policy meeting, but maintain rates and the APP unchanged, failing to affect the market."
"When it comes to technical analysis, the 1 hour chart shows that the indicators maintain a strong upward slope, despite being in extreme overbought territory, while the 20 SMA rose sharply, now acting as a dynamic support around 1.5250."
"In the 4 hours chart the indicators are beginning to look exhausted in overbought levels, although price broke above its 200 EMA for the first time in 8 months. The EMA is now at 1.5255, and as long as the price holds above it, the upside is favored, eyeing the 1.5500 price zone."
Key Quotes:
"Boosted by broad dollar weakness and stronger than expected house prices in January in the UK according to the Halifax measure, which rose 2.0% m/m."
"December data was also revised up to +1.1% m/m from 0.9% m/m. The January y/y figure came in at +8.5%, up from 7.8% y/y. The Bank of England had its monthly economic policy meeting, but maintain rates and the APP unchanged, failing to affect the market."
"When it comes to technical analysis, the 1 hour chart shows that the indicators maintain a strong upward slope, despite being in extreme overbought territory, while the 20 SMA rose sharply, now acting as a dynamic support around 1.5250."
"In the 4 hours chart the indicators are beginning to look exhausted in overbought levels, although price broke above its 200 EMA for the first time in 8 months. The EMA is now at 1.5255, and as long as the price holds above it, the upside is favored, eyeing the 1.5500 price zone."