The pound is under pressure

The British pound accelerated the decline against the speech of the head of the Bank of England Carney. Despite the expected increase in inflation, according to Carney, another representative of the Bank of England, Tenreyro, talks about the opposite and points out that it is still far from the closing of the QE program (see for more details).

Such a sharp statement significantly lowered the likelihood of higher rates in the UK and increased pressure on the British pound. The GBP/USD pair is limited to support 1.3190-70 (FIBO. 23.6 from the September’s high). This moving remains impulsive, after which a significant correction is possible. Fixing a pair below this level will open the way for sellers to the levels: 1.3130 and 1.3050.

Hanzenko Anton