{"id":1475,"date":"2009-04-20T14:35:21","date_gmt":"2009-04-20T19:35:21","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=1475"},"modified":"2009-04-20T14:35:21","modified_gmt":"2009-04-20T19:35:21","slug":"gbpusd-daily-commentary-for-42009","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/04\/20\/gbpusd-daily-commentary-for-42009\/","title":{"rendered":"GBP\/USD Daily Commentary for 4.20.09"},"content":{"rendered":"

By Fast Brokers<\/span><\/p>\n

The Cable is getting clobbered after the CBI stated Britain\u2019s economic growth could be worse than forecasted.\u00a0 Furthermore, the CBI is urging its Chancellor not to commit more funds to economic stimulus and quantitative easing in the upcoming budget.\u00a0 While one would like to believe the ease of quantitative easing would have a positive impact on the Pound, the opposite is occurring.\u00a0 The Cable\u2019s contraction in response to the news shows investors believe the CBI\u2019s reluctance to encourage further use of liquidity to fight the economic downturn could do more harm than good to Britain\u2019s economy.\u00a0 With the BOE\u2019s benchmark rate hovering near zero, the CBI is proposing taking away the only tool left to ease credit markets.\u00a0 On the other hand, the CBI\u2019s decision could be a sign of confidence that the worst of the economic crisis has been realized.\u00a0 Like the EUR\/USD, the GBP\/USD\u2019s uptrend has several foreseeable uptrend lines to prevent a real correction back into its long-term downtrend.\u00a0 Furthermore, despite a pop in the EUR\/GBP, the currency pair still has considerable forces in place towards the downside.\u00a0 Therefore, the Cable has quite a few fundamental and correlative pieces helping out the bulls.\u00a0 However, the GBP\/USD sent a strong message by falling below our 3rd tier uptrend line and more near-term losses could be realized.\u00a0 The big question will be whether the recent improvement in Britain\u2019s economic data can continue.\u00a0 Britain will return to the forefront on Tuesday with the release of CPI and RPI.\u00a0 Fundamentally, we find resistances of 1.4579, 1.4612, 1.4677, 1.4730, and 1.4770.\u00a0 The 1.50 level remains a key psychological barrier while 1.45 serves as a psychological cushion.\u00a0 To the downside, we see supports of 1.4532, 1.4478, 1.4438, 1.4391, and 1.4362.\u00a0\u00a0 The GBP\/USD is currently exchanging at 1.4573.<\/p>\n

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

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

Disclaimer:<\/strong> FastBrokers\u2019 market commentary is provided for information purposes only and under no circumstances should be regardedneither 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 getting clobbered after the CBI stated Britain\u2019s economic growth could be worse than forecasted…<\/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-1475","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/1475","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=1475"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/1475\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=1475"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=1475"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=1475"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}