Forex: GBP/USD eases after BoE King's speech

The GBP/USD bearish trend went as low as 1.4986 on Friday, but the psychological level at 1.5000 pulled the pair for some consolidation. That corrective movement was capped by the 1.5200 mark yesterday. Today, the market is moving lower again and has already breached below the 1.5100 line as the London session unfolds.

In his speech, BoE's Mervyn King said that banks are still too big to fail, still an issue for supervisors. UK house prices rose 0.5% (MoM) in February, more than the 0.2% expected, and the 3m/YoY data rose from 1.3% to 1.9%, beating the 1.7% consensus.

The GBP/USD is currently down to 1.5067 (-0.41% on the day). “The pair is caught in a trading range between 1.5220 and 1.5080 levels, and only a clear break through these boundaries will signal, that the next trend is underway”, wrote Deltastock.com analyst Stoyan Mihaylov, favoring a break through 1.5080 to initiate a slide towards 1.4880.