{"id":1893,"date":"2009-05-11T08:23:11","date_gmt":"2009-05-11T13:23:11","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=1893"},"modified":"2009-05-11T08:23:11","modified_gmt":"2009-05-11T13:23:11","slug":"gbpusd-daily-commentary-for-51109","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/05\/11\/gbpusd-daily-commentary-for-51109\/","title":{"rendered":"GBP\/USD Daily Commentary for 5.11.09"},"content":{"rendered":"

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

The Cable\u2019s key 1.50 survived a 2nd retest on Friday and passed with flying colors.\u00a0 1.50 withstood a high volume sell-off and bounced off our 3rd tier downtrend lines, sending a strong message that the bulls are in the driver\u2019s seat.\u00a0 The Cable is coming off Friday\u2019s highs after France and Italy released weaker than expected Industrial Production data.\u00a0 Additionally, U.S. equities are under a bit of selling pressure as investors take profits.\u00a0 Despite today\u2019s weakness on light volume, the GBP\/USD is distancing itself from our 2nd tier downtrend line while keeping above 1.50.\u00a0 We previously set these as our benchmark barriers to the upside.\u00a0 Therefore, we believe the fundamentals are still in place for more substantial games in the near to medium term.<\/p>\n

The EUR\/USD made a similar fundamental achievement on Friday by jumping past its 3rd tier downtrend line.\u00a0 Therefore, since the two are ultimately positively correlated, the argument for an uptrend in the Cable is more convincing. Naturally, the fate of the Cable relies heavily on the performance of U.S. equities.\u00a0 Hence, investors should keep a watch on the S&P futures to make sure they hold 900.\u00a0 We maintain our bullish outlook on the GBP\/USD for the aforementioned reasons.\u00a0 Our 3rd tier uptrend line should continue to act as a line of defense in the face of any near-term weakness.\u00a0 However, if our 3rd tier and 1.50 don\u2019t hold, then the validity of the uptrend could be thrown into question.<\/p>\n

Britain will release its BRC Retail Sales Monitor and RICS House Price Balance late in Monday\u2019s session followed by Manufacturing Production and Trade Balance on Tuesday.\u00a0 Therefore, we could see some reasonable volatility over the next 24 hours.<\/p>\n

Fundamentally, we find resistances of 1.5114, 1.5158, 1.5213, 1.5256, and 1.5256.\u00a0 To the downside, we see supports of 1.5059, 1.5017, 1.4988, 1.4946, and 1.4902.\u00a0 1.50 serves as a key psychological cushion with 1.55 acting as a psychological barrier. The GBP\/USD is currently exchanging at 1.5109.<\/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\u2019s key 1.50 survived a 2nd retest on Friday and passed with flying colors. 1.50 withstood a high volume sell-off…<\/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-1893","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/1893","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=1893"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/1893\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=1893"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=1893"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=1893"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}