GBPUSD – upbeat CPI data send cable above daily cloud
|Sterling gained strong support from upbeat CPI numbers, on 2.3% y/y in Feb vs 2.1% forecast and 0.7% m/m release beat the forecast at 0.5%.
Cable surged through daily cloud in immediate reaction on data and met next target at 1.2457 (Fibo 76.4% of 1.2568/1.2107 downleg), with 1.2476 (27 Feb high) and psychological 1.2500 barrier being in focus.
Better-than-expected inflation data are expected to further boost BoE’s hawkish hold from last week’s MPC meeting for early interest rate hike.
Broken daily cloud top now acts as immediate support, with the pair looking for daily close above it to confirm strong bullish stance.
Next support lies at 1.2408 (100 SMA) and guarding daily cloud base at 1.2379 that marks lower pivot.
Res: 1.2476; 1.2500; 1.2521; 1.2568
Sup: 1.2435; 1.2408; 1.2379; 1.2337
Interested in GBPUSD technicals? Check out the key levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.