GBP/USD set for fresh volatility?
Sterling strength has been the order of things for the past week now, helped along by fundamental news flow. Today’s appearance by Mark Carney and Co in front of the Treasury Select Committee could provide fresh volatility, especially if the governor sounds a little more hawkish (or, perhaps more accurately, a bit less dovish).
Dips in cable have been firmly bought, so we should be looking out for any today. The upward limit of cable’s advances has been marked by $1.35-$1.3550 since the Brexit vote, so this is the first area of resistance to watch for. Support is possible around $1.333, the lows of 5-6 September, while below this is $1.3250.