{"id":3184,"date":"2009-08-03T12:35:13","date_gmt":"2009-08-03T17:35:13","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=3184"},"modified":"2009-08-03T12:35:13","modified_gmt":"2009-08-03T17:35:13","slug":"gbpusd-runs-wild-after-global-pmi-numbers","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/08\/03\/gbpusd-runs-wild-after-global-pmi-numbers\/","title":{"rendered":"GBP\/USD Runs Wild after Global PMI Numbers"},"content":{"rendered":"

By Fast Brokers<\/strong> – The Cable is continuing its remarkable run, jetting towards 1.70 in a hurry as we anticipated.\u00a0 The Cable has busted through all of our trend lines, setting fresh 2009 highs in the process and making its case for a climb back to pre-crisis levels.\u00a0 The EUR\/USD is setting new 2009 highs today as well, indicating the significance of today\u2019s movement.\u00a0 However, 1.70 should play a psychological role for the near-term with the S&P dangling just below 1000.\u00a0 While all correlations are confirming the uptrend in the GBP\/USD, 1000 should prove to be a tough battle for the S&P even if the level is breached temporarily.\u00a0 The Cable has been on such a run as of late, we would not be surprised to see the currency pair cool soon as investors anticipate the wave of data and central bank meetings over the next few days.<\/p>\n

The Cable is getting its positive boost from better than expected manufacturing PMI data at home and abroad.\u00a0 Britain\u2019s manufacturing PMI ended its contraction, registering growth (50.8) for the first time since May 2008.\u00a0 America\u2019s manufacturing PMI data also headed towards growth, falling just short of the neutral 50 mark.\u00a0 Additionally, the markets are reacting to positive manufacturing and export data flows from China.\u00a0 The signs of a global recovery in manufacturing coupled with a better than expected Q2 earnings season are driving the Cable to confirm its uptrend.<\/p>\n

The wave of economic data will only grow in size tomorrow, with Britain releasing its Halifax HPI and construction PMI data points while the U.S. announcing housing and pricing data of its own.\u00a0 Better than expected economic data points would likely fuel the Cable\u2019s rally since investors would price in the BOE confirming its decision to cap QE funding at its meeting on Thursday.\u00a0 If the BOE and ECB both keep their alternative liquidity plans in check, investors would take this as a sign that the central bank governors are comfortable with the recovery taking root.<\/p>\n

Meanwhile, investors should keep an eye on the S&P\u2019s interaction with 1000.\u00a0 If 1000 turns into a dense area of resistance the GBP\/USD may opt to consolidate around 1.70.\u00a0 However, if the S&P futures leave 1000, the GBP\/USD could have added upward mobility due to its positive momentum.<\/p>\n

Present Price: 1.6923<\/p>\n

Resistances: 1.6939, 1.6969, 1.7025, 1.7064, 1.7104<\/p>\n

Supports: 1.6864, 1.6832, 1.6815, 1.6768, 1.6731<\/p>\n

Psychological: 1.70<\/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 continuing its remarkable run, jetting towards 1.70 in a hurry as we anticipated.\u00a0 The Cable has busted through all of our trend lines, setting fresh 2009 highs in the process and making its case for a climb back to pre-crisis levels.\u00a0 The EUR\/USD is setting new 2009 highs … <\/p>\n

Continue reading “GBP\/USD Runs Wild after Global PMI Numbers”<\/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-3184","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3184","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=3184"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3184\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=3184"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=3184"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=3184"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}