The Spanish Downgrade Causes a Stir in The GBP/USD

The trading pair of the GBP/USD in Wednesdays trading market found a bit of resistance that helped it climb up to go beyond the level of 1.5210. The trading pair had shown in the past few days that it couldn’t manage to keep to a level and continued on a daily slide to get to an intraday low of about 1.5121. at present the trading pair is just below the level of 1.5160 and this was sighted because of its bearish tendencies which could be contributed mostly to the downgrading of the credit rating of Spain.

With the downgrade of Spain’s credit rating there seems to be no stop to the drop in credit rating in the euro zone. This took place among the fears of the contagion that are abound adding to the already risk reluctant environment. As a result of all this downgrade the dollar as well as yen seems to be drawing itself up across the boards.

On the downside however the next support level seems to have gotten itself onto a level of 1.5134 and also a level of 1.5096.

On the upside however there could be the next resistance levels that could be listed at a level of 1.502 and again at 1.5240