{"id":2612,"date":"2009-06-23T10:35:13","date_gmt":"2009-06-23T15:35:13","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=2612"},"modified":"2009-06-23T10:35:13","modified_gmt":"2009-06-23T15:35:13","slug":"gbpusd-finds-support-once-more-at-162","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/06\/23\/gbpusd-finds-support-once-more-at-162\/","title":{"rendered":"GBP\/USD Finds Support Once More at 1.62"},"content":{"rendered":"

By Fast Brokers<\/strong> – The Cable declined on climbing volume earlier today, yet has balanced on our 1.6210 support once again.\u00a0 The GBP\/USD is rising back towards our 3rd tier downtrend line as investors hold onto their hope of a global economic stabilization.\u00a0 We notice considerable strength in the EUR\/USD today, indicating investors are supporting a near-term depreciation of the Dollar.\u00a0 However, as with the EUR\/USD, the GBP\/USD has an important downtrend line bearing down on price.\u00a0 Therefore, a near-term downward pressure remains while crude futures and U.S. equities struggle.\u00a0 Regardless, today\u2019s defense of the GBP\/USD and EUR\/USD is encouraging since the respective currency pairs are at a critical juncture as far as patterns are concerned.\u00a0 With the global economic stabilization at a crossroads, investors are waiting to see if the optimistic signs grow into more substantial results, or at least begin to approach pre-crisis levels.\u00a0 The markets are indicating investor hesitation, represented in the Cable by sideways movement over the past 10 sessions.<\/p>\n

Meanwhile, the Pound remains in an advantageous position globally since its economic data continues to outperform.\u00a0 Britain\u2019s BBA mortgage approvals came in above expectations, supporting the rise in British home prices we\u2019ve seen recently.\u00a0 Additionally, unemployment is declining and the British manufacturing and service sectors are rebounding.\u00a0 Hence, even though there have been a couple hiccups in Britain\u2019s economic data, the Pound maintains its comparative strength globally.\u00a0 Favoritism of the Pound is exemplified by the repeated defense of our 1.6210 support while ignoring near-term weakness in U.S. equities and crude.\u00a0 Regardless, should U.S. equities stumble into a more protracted decline the Cable would unwillingly follow suit due to their positive correlation.\u00a0 A weak U.S. economy implies a decrease in demand for British goods and services, causing further troubles for Britain\u2019s economy due to economic coupling.\u00a0 Since U.S. equities seem overpriced and a global economic recovery isn\u2019t written in stone, we maintain our negative outlook on the GBP\/USD trend-wise.\u00a0 However, even if the Cable should struggle in the near-term, the currency pair\u2019s medium-term uptrend is well intact with several technical and psychological supports in place.<\/p>\n

Present Price: 1.6349<\/p>\n

Resistances: 1.6371, 1.6412, 1.6498, 1.6574, 1.6624<\/p>\n

Supports: 1.6315 1.6263, 1.6210, 1.6151, 1.6102<\/p>\n

Psychological: 1.65, 1.60<\/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 declined on climbing volume earlier today, yet has balanced on our 1.6210 support once again.\u00a0 The GBP\/USD is rising back towards our 3rd tier downtrend line as investors hold onto their hope of a global economic stabilization.\u00a0 We notice considerable strength in the EUR\/USD today, indicating investors are supporting … <\/p>\n

Continue reading “GBP\/USD Finds Support Once More at 1.62”<\/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-2612","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/2612","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=2612"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/2612\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=2612"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=2612"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=2612"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}