GBP: $1.40 level has hit with a wall of offers - BBH
|Sterling rose against the dollar for the second consecutive week even though the investors reduced the chance of a BOE rate hike in May from a little more than a 75% chance to a little more than 2/3, points out Marc Chandler, Global Head of Currency Strategy at BBH.
Key Quotes
“Here in March, Bloomberg data shows only two sessions in which sterling has fallen against the dollar. Sterling has also done well this month so far against the euro.”
“The $1.40 level was flirted with last week hit what appeared to be a wall of offers. Sterling backed off, briefly dipped below $1.39 before the week but closed firmly, and is positioned now, to have a running start at a re-test. A break would initially target $1.41 but would also lift the medium-term outlook. Some investors may be cautious ahead of indications where the EU Summit will allow Brexit negotiations progress to the next stage.”
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.