{"id":3299,"date":"2009-08-11T11:26:51","date_gmt":"2009-08-11T16:26:51","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=3299"},"modified":"2009-08-11T11:26:51","modified_gmt":"2009-08-11T16:26:51","slug":"gbpusd-stabilizes-after-positive-retail-and-housing-data","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/08\/11\/gbpusd-stabilizes-after-positive-retail-and-housing-data\/","title":{"rendered":"GBP\/USD Stabilizes after Positive Retail and Housing Data"},"content":{"rendered":"

By Fast Brokers<\/strong> – The Cable\u2019s decline carried on Monday before finding comfort in the 1.65 area as anticipated.\u00a0 Both the housing price and retail sales data points came in better than anticipated late Monday, helping the Cable find a bottom.\u00a0 Investors are ignoring the slight pullback in Britain\u2019s Trade Balance this morning and the Cable is balancing on our 1st tier uptrend line.\u00a0 Meanwhile, the S&P futures are experiencing a sizable pullback.\u00a0 Though the reversal in correlation between the Cable and the S&P futures continues today, it remains to be seen whether this behavior will be temporary or long-lasting.\u00a0 After all, the recent appreciation of the Dollar could have just been an indicator for today\u2019s pullback in U.S. equities.\u00a0 Therefore, we\u2019ll need to monitor the correlation behavior for a few more sessions before drawing any conclusions.\u00a0 The reaction of the Dollar and equities to tomorrow\u2019s monetary policy decision by the Fed could paint a clearer picture.<\/p>\n

In addition to the Federal Reserve\u2019s monetary policy decision, Britain will also release its CCC number, the Average Earnings Index, and the BOE will print its Inflation Report.\u00a0 Therefore, Wednesday\u2019s session should be volatile for the Cable.\u00a0 Should Britain\u2019s CCC number come in lower than expected while the BOE\u2019s Inflation Report shows modest inflationary pressure, this could give the Pound relative strength and boost the GBP\/USD.\u00a0 Declining unemployment and rising inflation indicates further improvement in Britain\u2019s economy, giving the BOE room to rope in some of its liquidity in the foreseeable future.<\/p>\n

Despite today\u2019s consolidation in the GBP\/USD, present momentum remains to the downside due to Friday\u2019s pullback on considerable volume.\u00a0 However, the 1.65 area should continue to be a reliable defense since the currency pair has battled with this psychological zone in the past.\u00a0 The GBP\/USD also has our 1st tier uptrend line and intraday lows acting as immediate-term technical cushions.\u00a0 As for the upside, the GBP\/USD has an uphill battle.\u00a0 The Cable must deal with our 2nd tier uptrend line and the lid of its 7\/20-7\/28 trading range.<\/p>\n

Present Price: 1.6490<\/p>\n

Resistances: 1.6504, 1.6521, 1.6545, 1.6567, 1.6591<\/p>\n

Supports: 1.6486, 1.6467, 1.6447, 1.6427, 1.6410<\/p>\n

Psychological: 1.65<\/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 decline carried on Monday before finding comfort in the 1.65 area as anticipated.\u00a0 Both the housing price and retail sales data points came in better than anticipated late Monday, helping the Cable find a bottom.\u00a0 Investors are ignoring the slight pullback in Britain\u2019s Trade Balance this morning and the … <\/p>\n

Continue reading “GBP\/USD Stabilizes after Positive Retail and Housing Data”<\/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-3299","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3299","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=3299"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3299\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=3299"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=3299"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=3299"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}