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Canada saw some better than expected inflation data on Friday which were welcomed by USD/CAD sellers. The pair would have probably been trading much lower if it weren't for uncertainty regarding NAFTA, U.S. politics and Canadian housing market, all of which keep the Bank of Canada in cautious mode. 1.26 is the initial support and stronger one closer to 1.25.
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Pound rallies on better than expected inflation data
The pound has been on a bull run during the past couple of weeks. It rallied today into what proved to be a better than expected inflation data release, and extended gains after the release. Nothing suspicious here.
GBP/USD broke above August high and is currently trading at the highest level since last September. 1.3350 - 1.3375 is the next target and then 1.3450 - 1.35. 1.3225 is the initial support. Tomorrow U.K. releases labour market report and then BOE meets on Thursday.
GBP/USD broke above August high and is currently trading at the highest level since last September. 1.3350 - 1.3375 is the next target and then 1.3450 - 1.35. 1.3225 is the initial support. Tomorrow U.K. releases labour market report and then BOE meets on Thursday.