{"id":10342,"date":"2010-06-17T08:55:40","date_gmt":"2010-06-17T12:55:40","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=10342"},"modified":"2010-06-17T08:55:40","modified_gmt":"2010-06-17T12:55:40","slug":"gbpusd-battles-1-48-as-euro-bounces","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/06\/17\/gbpusd-battles-1-48-as-euro-bounces\/","title":{"rendered":"GBP\/USD Battles 1.48 as Euro Bounces"},"content":{"rendered":"

By Fast Brokers <\/strong>– The Cable is battling its psychological 1.48 level once again after bouncing off of intraday lows in the wake of an uptick in UK retail sales data.\u00a0 The improvement in consumption comes after another solid claimant count change figure, both encouraging developments in regards to the sustainability of the UK\u2019s economic recovery.\u00a0 Although the UK will release mortgage approvals and public sector borrowing data tomorrow, the remainder of the trading week should be about the EU and U.S.\u00a0 Spain is fighting the flames of this week\u2019s rumors that it will need a liquidity lifeline by announcing the government will release the bank stress test results.\u00a0 Meanwhile, EU leaders are meeting today for a one day summit as the discuss how to create a more unified and stable financial system throughout the union.\u00a0 If leaders leave the summit with a coordinated response this could help bolster confidence in the Euro and help lift the risk trade across the board as the FX markets participate in a psychological tug of war.\u00a0 In addition to developments in the EU, investors will also be paying close attention to today\u2019s U.S. data set.\u00a0 The U.S. will release CPI, weekly unemployment claims and the Philly Index.\u00a0 The key figure will likely be CPI.\u00a0 If prices rise faster than anticipated this could place a bit of downward pressure on the Cable over concern that the Fed may have to raise rates sooner than anticipated.\u00a0 On the other hand, if inflation stays in check then this will get the Fed the green light to keep the gates of liquidity open, a positive for the Cable.\u00a0 In all, despite the fact that considerable economic headwinds remain, investors are gaining more confidence by the day in the risk trade as the Cable and most other dollar pairs regain more ground from May lows.<\/p>\n

Technically speaking, the Cable faces downtrend lines running through April highs along with 6\/14 highs and the psychological 1.48 level.\u00a0 As for the downside, the Cable is developing a new near-term support structure, including downtrend lines running through May and June lows.\u00a0 The Cable also has technical supports in the form of 6\/14 and 6\/11 lows along with the 1.47 and 1.46 level should they be tested.<\/p>\n

Present Price: 1.4800
\nResistances: 1.4810, 1.4854, 1.4890, 1.4912, 1.4953, 1.4988
\nSupports: 1.4750, 1.4720, 1.4680, 1.4628, 1.4585, 1.4544
\nPsychological: 1.50, 1.45, June highs and lows<\/p>\n

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

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

Market Commentary<\/strong><\/em> provided by Fast Brokers.<\/a><\/strong><\/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 – The Cable is battling its psychological 1.48 level once again after bouncing off of intraday lows in the wake of an uptick in UK retail sales data.\u00a0 The improvement in consumption comes after another solid claimant count change figure, both encouraging developments in regards to the sustainability of the UK\u2019s economic … <\/p>\n

Continue reading “GBP\/USD Battles 1.48 as Euro Bounces”<\/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-10342","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/10342","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=10342"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/10342\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=10342"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=10342"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=10342"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}