The pound has managed to bounce off session’s lows

<p>GBP/USD Range: 1.6124 to 1.6156 Support: 1.6114 Resistance: 1.6255 The pound has managed to bounce off session’s lows around 1.6120 versus the Greenback and has risen almost 40 […]</p>

Range: 1.6124 to 1.6156
Support: 1.6114
Resistance: 1.6255
The pound has managed to bounce off session’s lows around 1.6120 versus the Greenback and has risen almost 40 pips within the last hours. GBP/USD is picking up steam, struggling to clear the 1.6150 level, currently trading at 1.6155 and crossing bottom-up the 20-hour SMA, although the 200-hour EMA is offering some resistance.
Range: 1.3798 to 1.3939
Support: 1.3740
Resistance: 1.3860
The rally in the Euro this week and heads towards next key resistance of 1.3860 has been somewhat of an anomaly considering that we have seen no real fundamental changes in the Eurozone that would warrant such a rally. While it is true that the market has benefitted a great deal from talk of a potential shift to a more hawkish stance at the ECB, at the end of the day, it is only talk and nothing has been substantiated. In fact, we have been seeing some reason for additional Eurozone concern, with Greek, Irish and Portuguese bond spreads widening out, and many once again wondering whether there will be issues with these countries abilities to repay the debt. Certainly, the higher oil prices do not help matters and could act as an additional strain. Market participants should also pay attention as Ireland goes to the polls today. A victory by the opposition could also ruffle some feathers.
Range: 1.0090 to 1.0136
Support: 1.0085
Resistance: 1.0167
The talk in the market since yesterday afternoon has been of the big stops above 1.0160 and it looks increasingly likely that we will have a look at that level sometime tonight. It’s simply a matter of flows at the moment and the market is doing what it can to stuff everyone up. If you’re bearish AUD/USD, pick a silly level 200 pips higher and leave a sell order because we just might get there.

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