{"id":2410,"date":"2009-06-10T09:12:56","date_gmt":"2009-06-10T14:12:56","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=2410"},"modified":"2009-06-10T09:12:56","modified_gmt":"2009-06-10T14:12:56","slug":"gbpusd-continues-its-recovery-after-positive-manufacturing-production","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/06\/10\/gbpusd-continues-its-recovery-after-positive-manufacturing-production\/","title":{"rendered":"GBP\/USD Continues its Recovery after Positive Manufacturing Production"},"content":{"rendered":"

By Fast Brokers<\/strong> – The Cable has jumped over our 2nd tier downtrend line as investors celebrate a better than expected manufacturing production number, accompanied by an upward revision of the previous release.\u00a0 Meanwhile, investors seem to be ignoring the declining trade balance, signifying a rise in imports and\/or decrease in exports.\u00a0 Since recent data shows consumption is improving in Britain, we assume the declining trade balance indicates a rise in imports.\u00a0 Overall, we continue to see positive progression in Britain\u2019s economy.<\/p>\n

Despite the GBP\/USD\u2019s encouraging recovery on climbing volume, we haven\u2019t seen volume to the upside match the volume during last week\u2019s pullback.\u00a0 Therefore, we are still cautious and waiting to see how the GBP\/USD behaves should it approach our 3rd tier downtrend line.\u00a0 If the Cable can get past our 3rd tier on rising volume, then we will be comfortable re-activating our positive outlook on the currency pair.\u00a0 Meanwhile, the S&P futures are rallying, trading just beneath 2009 highs.\u00a0 If U.S. equities breakout to the upside, the Cable might find the strength to get past our 3rd tier downtrend line and previous June highs.\u00a0 The EUR\/USD is facing a similar obstacle to the upside, showing we haven\u2019t eclipsed the impact from last week\u2019s downturn yet.\u00a0 Hence, we are sticking to the evaluation that we may be heading into a new near-term downtrend unless the Cable overcomes the aforementioned barriers to the upside.\u00a0 Britain will be pretty quiet for the remainder of the week news-wise, seemingly leaving its immediate-term performance in the hands of U.S. equities.<\/p>\n

Fundamentally, we find resistances of 1.6371, 1.6412, 1.6458, 1.6497, and 1.6574.\u00a0 To the downside, we see supports of 1.6315, 1.6270, 1.6219, 1.6111, and 1.6054.\u00a0 The 1.60 level acts as a psychological cushion with 1.65 serving as a psychological barrier.\u00a0 The GBP\/USD is currently exchanging at 1.6386.<\/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 has jumped over our 2nd tier downtrend line as investors celebrate a better than expected manufacturing production number, accompanied by an upward revision of the previous release.\u00a0 Meanwhile, investors seem to be ignoring the declining trade balance, signifying a rise in imports and\/or decrease in exports.\u00a0 Since recent data … <\/p>\n

Continue reading “GBP\/USD Continues its Recovery after Positive Manufacturing Production”<\/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-2410","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/2410","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=2410"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/2410\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=2410"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=2410"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=2410"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}