7 May 2015
GBP/USD steadies circa 1.5250, UK elections in focus
FXStreet (Mumbai) - The British pound trades around a flat line against the US dollar in the early European morning, with GBP/USD trading almost unchanged above 1.52 barrier as markets gear up for UK Parliamentary elections and remain cautious to place bids amid an uncertain outcome.
GBP/USD supported at 1.5235
The GBP/USD pair trades flat at 1.5244, oscillating between a 20-pips range in last hours. The cable treads waters as traders refrain from creating fresh positions as UK election commence. The latest opinion poll suggesting there could be a hung Parliament in which no single party has a majority of the 650 seats and there is no clear winner. Thus, uncertainty surrounding UK elections is expected to keep GBP/USD pressured.
However, softer US dollar against its major competitors after a discouraging ADP employment change may cushion the downside. The dollar index which measures the relative strength of the greenback against the basket of six major currencies, trades at 94.15, retreating from 94.25 highs.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.5292 (May 6 High) above which gains could be extended to 1.5347 levels. On the flip side, support is seen at 1.5200 below which it could extend losses to 1.5148 (May 6 Low) levels.
GBP/USD supported at 1.5235
The GBP/USD pair trades flat at 1.5244, oscillating between a 20-pips range in last hours. The cable treads waters as traders refrain from creating fresh positions as UK election commence. The latest opinion poll suggesting there could be a hung Parliament in which no single party has a majority of the 650 seats and there is no clear winner. Thus, uncertainty surrounding UK elections is expected to keep GBP/USD pressured.
However, softer US dollar against its major competitors after a discouraging ADP employment change may cushion the downside. The dollar index which measures the relative strength of the greenback against the basket of six major currencies, trades at 94.15, retreating from 94.25 highs.
GBP/USD Levels to consider
The pair has an immediate resistance at 1.5292 (May 6 High) above which gains could be extended to 1.5347 levels. On the flip side, support is seen at 1.5200 below which it could extend losses to 1.5148 (May 6 Low) levels.