{"id":10023,"date":"2010-06-07T11:18:56","date_gmt":"2010-06-07T15:18:56","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=10023"},"modified":"2010-06-07T11:18:56","modified_gmt":"2010-06-07T15:18:56","slug":"gbpusd-drops-back-below-1-45","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/06\/07\/gbpusd-drops-back-below-1-45\/","title":{"rendered":"GBP\/USD Drops Back Below 1.45"},"content":{"rendered":"

By Fast Brokers<\/strong> – Negative news has dragged the Cable back below 1.45 after Hungary\u2019s government revealed that the previous government manipulated fiscal reports to hide budget shortfalls.\u00a0 The concept of another Greece hit the Euro hard due to the exposure of EU banks to Eastern European economies.\u00a0 The whole risk trade has taken a hit and the Cable was no exception.\u00a0 However, the Cable is still above May lows and could salvage its near-term bottom should anxiety subside next week.\u00a0 Meanwhile, the Pound has outperformed due to last week\u2019s solid UK data.\u00a0 Although the Halifax HPI mixed, the Nationwide HPI met expectations.\u00a0 Furthermore, both the manufacturing and service PMIs satisfied estimates, allowing the Cable to stay afloat despite volatility in the Euro.\u00a0 Across the pond, U.S. employment data disappointed analysts, bringing the sustainability of the global economic recovery into question since most of the new hires in the U.S. are temps.\u00a0 Meanwhile, the EUR\/USD has suffered another technical setback by dropping beneath 1.20.\u00a0 Hence, should the EUR\/USD continue to deteriorate this could place downward pressure on the Cable due to its risk correlation.\u00a0 Over the near-term it will be important for the Cable to hold 1.45 and stay above uptrend lines running through May lows.\u00a0 Otherwise the Cable may take another leg down as well.\u00a0 The data wire will be relatively quiet until Thursday\u2019s central bank meetings, meaning pscyhologicals will be in the driver\u2019s set for the next few trading sessions.\u00a0 Therefore, investors should continue to actively monitor news wires from around the globe.<\/p>\n

Technically speaking, the Cable still faces multiple downtrend lines along with 5\/28 and 6\/2 highs.\u00a0 As for the downside, if 1.45 doesn\u2019t hold the Cable has technical cushions in the form of 5\/28 and 5\/19 lows.<\/p>\n

Present Price: 1.4472
\nResistances: 1.4498, 1.4526, 1.4554, 1.4587, 1.4609, 1.4640, 1.4673
\nSupports: 1.4440, 1.4409, 1.4382, 1.4348, 1.4321, 1.4301
\nPsychological: 1.45, June highs and May lows<\/p>\n

\"\"<\/a><\/p>\n

(click chart to enlarge)<\/p>\n

Market Commentary<\/strong><\/em> provided by Fast Brokers<\/strong>.<\/a><\/p>\n

Disclaimer:<\/strong> FastBrokers\u2019 market commentary is provided for information purposes only and under no circumstances should be regarded neither as an investment advice nor as a solicitation or an offer to sell\/buy any financial product. FastBrokers assumes no responsibility or liability from gains or losses incurred by the information herein contained.<\/p>\n

Risk Disclosure:<\/strong> There is a substantial risk of loss in trading futures and foreign exchange. Please carefully review all risk disclosure documents before opening an account as these financial instruments are not appropriate for all investors.<\/p>\n","protected":false},"excerpt":{"rendered":"

By Fast Brokers – Negative news has dragged the Cable back below 1.45 after Hungary\u2019s government revealed that the previous government manipulated fiscal reports to hide budget shortfalls.\u00a0 The concept of another Greece hit the Euro hard due to the exposure of EU banks to Eastern European economies.\u00a0 The whole risk trade has taken a … <\/p>\n

Continue reading “GBP\/USD Drops Back Below 1.45”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-10023","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/10023","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=10023"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/10023\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=10023"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=10023"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=10023"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}