GBP/USD Forecast: Pound retreats on BOE commentary, bias remains slightly bullish

GBP/USD reversed direction and recovered after dropping below 1.3550 on Tuesday but has struggled to preserve its bullish momentum during the European trading hours on Wednesday. The pair faces strong resistance at 1.3630 and buyers could remain hesitant unless that level turns into support.

The improving market mood helped the British pound gain traction in the early European morning. Investors breathe a sigh of relief in the absence of headlines suggesting a further escalation of the Russia-Ukraine crisis. Reflecting the risk-positive atmosphere, the UK’s FTSE 100 Index is up 0.7% on the day. Read more…

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GBP/USD sticks to modest intraday gains near 1.3600 mark, lacks follow-through

The GBP/USD pair maintained its bid tone through the early European session and was last seen hovering near the top end of its daily trading range, around the 1.3600 mark.

The pair built on the previous day’s late rebound from the multi-day low, around the 1.3540-1.3535 area, and gained some positive traction on Wednesday amid subdued US dollar demand. Despite the recent geopolitical developments, the fact that new economic sanctions on Russia were not as bad as feared helped ease the nervousness over the situation in Ukraine. This was evident from a generally positive tone around the equity markets, which undermined the greenback’s relative safe-haven status and acted as a tailwind for the GBP/USD pair. Read more…

GBP/USD moved into a consolidation range – UOB

In opinion of FX Strategists at UOB Group, cable is now seen navigating within the 1.3500-1.3645 range in the next weeks.

24-hour view: “We expected GBP to ‘consolidate and trade between 1.3565 and 1.3630’ yesterday. However, GBP plummeted to 1.3639 before staging a rapid rebound to end the day slightly lower at 1.3587 (-0.12%). The choppy price actions have resulted in a mixed outlook and GBP could trade within a relatively broad range of 1.3560/1.3625 for today.” Read more…

This article was originally published by Fxstreet.com.Read the original article here.

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