Forex Pros – The pound retreated from a two-week high against the U.S. dollar on Monday, despite a report showing that house prices in the U.K. climbed for a second month in February.
GBP/USD hit 1.6218 during European morning trade, the daily low; the pair subsequently consolidated at 1.6234, shedding 0.11%.
Cable was likely to find support at 1.6148, Friday’s low and resistance at 1.627, the high of February 3 and a three-month high.
Rightmove Plc, the operator of the U.K.’s biggest property website, said average asking prices in England and Wales rose 3.1% from January. The average number of properties for sale per estate agent dropped to a 10-month low, propping up values. In London, prices rose 4.2% on the month.
The pound rallied last week after a surge in inflation and retail sales boosted speculation the Bank of England will raise interest rates this year faster than previously anticipated.
The pound was also down against the euro, with EUR/GBP climbing 0.17% to hit 0.8438.
Also Monday, markets in the U.S. were to remain closed for the President’s Day holiday.
ForexPros.com
