{"id":71175,"date":"2015-04-17T07:27:29","date_gmt":"2015-04-17T11:27:29","guid":{"rendered":"http:\/\/countingpips.com\/?p=71175"},"modified":"2015-04-17T07:50:58","modified_gmt":"2015-04-17T11:50:58","slug":"sterling-breaks-out-following-drop-in-unemployment-rate","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2015\/04\/sterling-breaks-out-following-drop-in-unemployment-rate\/","title":{"rendered":"Sterling Breaks Out Following Drop in Unemployment Rate"},"content":{"rendered":"
April 17, 2015<\/div>
\r\n<\/div><\/div>

Article by ForexTime<\/a><\/p>\n

Sterling is breaking out to fresh 3-week highs on better than expected employment numbers as Greek concerns are hitting the dollar and generating a global equity market selloff.\u00a0 Yield differentials have remained steady, which could mean that the turnaround in the UK currency might be transitory.<\/p>\n

The UK claimant count and unemployment rates fell to new cycle lows as expected. The headline March claimant count dropped by 20.7k, which was less than the median forecast for a 28.0k decline, though the rate still managed to dip to 2.3%. The February unemployment rate also fell to 5.6% from 5.7%.<\/p>\n

The percentage of people in the workforce in the 16 to 64 age bracket was 73.4% of the population, up from 72.4% a year ago. Average household income were near expectations, rising 1.7% in the with-bonus figure and by 1.8% in the ex-bonus figure in year over year figures for the three months to February. Overall, a solid report, portended by strong retail spending.<\/p>\n

Unemployment is now at the lowest level since July 2008 and at 5.6% is within a whisker of the BoE\u2019s 5.5% Nairu, the point at which the central bank estimates would start to trigger inflationary pressures via higher wage demands. UK fundamentals are solid, but uncertainties about the outcome of the May 7 general election should also curb the pound\u2019s upside potential.<\/p>\n

Sterling broke out above a short-term downward sloping trend line at 1.49 and is poised to test the mid-March high at 1.5165.\u00a0 Support is seen near former resistance and the 10-day moving average at 1.1411.\u00a0 Momentum has turned positive as the MACD (moving average convergence divergence) index generated a buy signal.\u00a0 This occurs as the spread (the 12-day moving average minus the 26-day moving average) crosses above the 9-day moving average of the spread.<\/p>

\r\n
\r\n

Free Reports:<\/p><\/div>\r\n

\r\n

<\/a>\r\n\t Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p>

\r\n
\r\n
\r\n

<\/a>\r\n\t Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p>

\r\n<\/div>\r\n

\r\n
<\/div>\n

\"gbp-041715\"<\/a><\/p>\n

 <\/p>\n

\n

\"Forex-Time-Logo\"Article by ForexTime<\/a><\/span><\/strong><\/p>\n

ForexTime Ltd (FXTM)<\/strong> is an award winning international online forex broker regulated by CySEC 185\/12 www.forextime.com<\/a><\/p>\n

 <\/p>\n

 <\/p>\n

 <\/p>\n

 <\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

Article by ForexTime Sterling is breaking out to fresh 3-week highs on better than expected employment numbers as Greek concerns are hitting the dollar and generating a global equity market selloff.\u00a0 Yield differentials have remained steady, which could mean that the turnaround in the UK currency might be transitory. The UK claimant count and unemployment […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-71175","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/71175","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=71175"}],"version-history":[{"count":3,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/71175\/revisions"}],"predecessor-version":[{"id":71179,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/71175\/revisions\/71179"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=71175"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=71175"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=71175"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}