Forex: GBP/USD hovering over 1.5650 , BoE eyed

The pound is orbiting around the mid 1.5600s ahead of the Letter of Inflation by the BoE, followed by a speech by Governor M.King.
The sterling recovered ground after hitting lows last seen in August 2012 around 1.5555/60 on Tuesday, prolonging the decline from January tops in the boundaries of 1.6400

At the moment, the cross is losing 0.11% at 1.5646 with the next support lying at 1.5547 (low Aug.6 2012) followed by 1.5546 (Lower Bollinger) en route to 1.5506 (low Aug.3).
On the flip side, a dip beyond 1.5670 (high Feb.12) would expose 1.5725 (MA10d) and then 1.5810 (high Feb.11).

Feb 13, 2013

Forex Flash: GBP/USD might bounce to 1.5768 ahead of further losses - Commerzbank

The 2009-2013 uptrend, at 1.5642, has been eroded, but the market is yet to close below here and “we suspect the market will rally towards its 20 day ma at 1.5768 ahead of further losses”, wrote analyst Karen Jones, adding that the break lower has introduced scope to 1.5271/35 (2012 low and 50% retracement of the move since 2009 located here), a key magnet for price. “An interim target is 1.5505, the 78.6% retracement of the move up from June 2012”, she added, pointing to resistance to rallies at 1.5830/79 (November 2012 low, 200 day ma, 38.2% retracement and the February high). “While capped here it will remain directly offered”.

Forex Flash: New Zealand current account is deteriorating – Societe Generale

Sebastien Galy, Senior FX Strategist at Societe Generale notes that New Zealand tried to give a bearish punt on NZD and failed.