FxWirePro: GBP/USD hovers near six-month high, ,gearing up for another run higher

• GBP/USD hovered near six-month high   on Tuesday as sterling  was underpinned by expectations for interest rate hikes by the Bank of England this year.

•  The pound has rallied strongly over the past four weeks as robust economic data fuelled expectations of a potential Bank of England rate hike.

• Markets largely shrugged off Monday’s announcement of tougher U.S. sanctions on Iran, with only a limited reaction across currency markets..

• Attention is now shifting to the Kansas City Fed’s Jackson Hole Economic Symposium, scheduled for August 27-29, where Federal Reserve Chair Kevin Warsh is due to deliver the keynote speech..

• Market participants will closely scrutinize Warsh’s remarks for clues on the Federal Reserve’s policy outlook for the remainder of the year.

•   Immediate resistance is located at 1.3678(23.6%fib), any close above will push the pair towards 1.3706(Higher BB)

•  Strong support is seen at 1.3623(Daily low) and break below could take the pair towards 1.3530(38.2%fib).

  Recommendation: Good to buy  around 1.3610, with stop loss of 1.3550 and target price of 1.3760