FXstreet.com (Barcelona) - After testing the 1.6100 level for the third time since 06:00 GMT, the GBP/USD rose ahead of the annualized Q3 GDP in the US. Data surprised on the upside, by picking up from +1.3% in Q2 to +2.0%, beating expectations of +1.9%.
“Growth was fairly resilient, with inventories relatively unchanged and drought conditions slicing of -0.4% from the headline figure – yes, the implication is that, without the drought, growth would have come in at +2.4% in the third quarter”, wrote Christopher Vecchio, currency analyst at DailyFX, expecting the Fed to step up asset purchases when Operation Twists finishes in two-months, leading to a QE4 announcement (QE3 expansion or outright Treasury purchases) in December.
The GBP/USD is trading just ahead of the NY opening and has returned to flat on the day, once again. “Break and daily close above psychological 1.6100 level keeps positive tone in play for possible extension towards 1.6178, 17 Oct high and round figure resistance at 1.6200, next upside targets”, wrote Windsor Brokers analyst Slobodan Drvenica, pointing to initial support at 1.6100 ahead of 1.6050 (55-day EMA).
“Growth was fairly resilient, with inventories relatively unchanged and drought conditions slicing of -0.4% from the headline figure – yes, the implication is that, without the drought, growth would have come in at +2.4% in the third quarter”, wrote Christopher Vecchio, currency analyst at DailyFX, expecting the Fed to step up asset purchases when Operation Twists finishes in two-months, leading to a QE4 announcement (QE3 expansion or outright Treasury purchases) in December.
The GBP/USD is trading just ahead of the NY opening and has returned to flat on the day, once again. “Break and daily close above psychological 1.6100 level keeps positive tone in play for possible extension towards 1.6178, 17 Oct high and round figure resistance at 1.6200, next upside targets”, wrote Windsor Brokers analyst Slobodan Drvenica, pointing to initial support at 1.6100 ahead of 1.6050 (55-day EMA).
