FxWirePro: GBP/USD rejected at 1.5688 highs, good to short rallies

 

• Sterling boosted from BoE's Forbes hawkish comments suggesting that a rate hike is needed well before inflation reaches the 2% target 
   
• GBP/USD hits day's high at 1.5688 into European open before edging lower, weakness seen in the near-term, Stochs point lower
   
• Pair is closing in on 1.5701 (the 61.8% fibo of 1.5930 - 1.5330 fall), currently trading at 1.5648, with next immediate hurdle at 1.5691 (Daily High Jul 29)
   
• Support on the downside is seen at 1.5642 (Hourly Low Aug 17) below which the pair could extend falls to 1.5589 (Daily Low Aug 14)
   
• With no major data due for release, the spot could focus on the US rate hike expectations
   

Recommendation: Good to go short around 1.5645, SL: 1.5680, TP: 1.5590 

Resistance Levels:

R1: 1.5691 (Daily High Jul 29)

R2: 1.5701 (61.8% of 1.5930 - 1.5330)

R3: 1.5707 (30 DMA Upper Bolli)

Support Levels:

S1: 1.5642 (Hourly Low Aug 17)

S2: 1.5589 (Daily Low Aug 14)

S3: 1.5588 (10 DMA)