BOE to stand pat for rest of the year, major market forecasts – Oanda

“BOE is likely to stay pat for the rest of the year…as it would be hard for the bank to justify further policy easing”, says Craig Erlam, Senior Market Analyst at Oanda while talking to Tip TV’s Zak Mir. Also co-hosting the show is Mike Ingram, Strategist at BGC Partners. Erlam also details the fundamental and technical outlook for major markets – GBP/USD, Gold and USD/JPY.

Key points

GBP/USD – Today’s up move could be a dead cat bounce. We could see the spot trade around 1.25 levels over the next few weeks

Gold- Gold sell-off lacked major catalyst… looks like a move triggered by unwinding of longs following a break below $1300. A move back to $1250 looks likely. The new trading range could be $1250 to $1300.

USD/JPY – Trading near significant level of 103.00-103.20. A violation there would open doors for 104.50-105.00 in short-run and 107.50 in the long-run.