{"id":3598,"date":"2009-09-02T10:56:49","date_gmt":"2009-09-02T15:56:49","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=3598"},"modified":"2009-09-02T10:56:49","modified_gmt":"2009-09-02T15:56:49","slug":"gbpusd-finds-support-in-our-3rd-tier-uptrend-line-once-again-2","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/09\/02\/gbpusd-finds-support-in-our-3rd-tier-uptrend-line-once-again-2\/","title":{"rendered":"GBP\/USD Finds Support in our 3rd Tier Uptrend Line Once Again"},"content":{"rendered":"

By Fast Brokers<\/strong> – The Cable pulled back on heightened volume yesterday only bounce off of our 2nd tier uptrend line this morning.\u00a0 The Pound is experiencing relative strength despite weaker than expected Manufacturing and Construction PMI data along with a disappointing Net Lending to Individuals number.\u00a0 The past two sessions of economic data reveals why the BOE has been more aggressive with its monetary policy.\u00a0 One would anticipate relative weakness in the Pound in reaction to these data points.\u00a0 However, the EUR\/GBP has experienced a sharp contraction while the Cable balances.\u00a0 Considering the pace of the EUR\/GBP\u2019s recent surge, we believe the Pound may have just been oversold and we are witnessing a natural bounce.\u00a0 Therefore, today\u2019s bottom in the Cable may have little staying power should the S&P futures continue their downturn as indicated.\u00a0 The S&P futures were flooded by heightened sell-side action yesterday and were accompanied by a hefty pullback in crude.\u00a0 The downside interest around the market indicates the present downturn could have legs.\u00a0 The one positive correlative sign for the Cable is today\u2019s pop in gold.\u00a0 However, we wouldn\u2019t read too far into gold\u2019s strength right now.<\/p>\n

Britain will keep the data train rolling after the last two weeks of relative silence.\u00a0 Britain will release its Halifax HPI and Services PMI data tomorrow.\u00a0 While we expect the Halifax HPI to satisfy investors considering the recent outperformance of British housing data, the Services PMI number will be the headline to watch.\u00a0 The Services PMI data should have a large impact on the GBP\/USD since services make up such a large portion of Britain\u2019s GDP.\u00a0 Meanwhile, we will receive more key data from the U.S. along with and ECB monetary decision.\u00a0 Therefore, we expect the level of volatility to remain high throughout the rest of the week.\u00a0 Meanwhile, if the S&P futures should extend their leg down we expect the Cable to follow suit.<\/p>\n

Technically speaking, the Cable is fortunate to have found support in our 2nd tier uptrend line.\u00a0 If not, we would have surely witnessed a retest of the highly psychological 1.60 level.\u00a0 Not to mention our 1st tier trend line is sitting in the depths below.\u00a0 While the GBP\/USD has 1.60, the EUR\/USD has 1.40.\u00a0 Therefore, even though there may be some more space to the downside, each major Dollar cross has a strong psychological level waiting in the wings.\u00a0 On the other hand, the GBP\/USD has quite a ways to go to re-establish its upward momentum.\u00a0 The GBP\/USD has to deal with all three of our downtrend lines along with Monday\u2019s highs and the highly psychological 1.65 level.\u00a0 However, the Cable may choose to consolidate today ahead of tomorrow\u2019s busy session.<\/p>\n

Present Price: 1.6222<\/p>\n

Resistances: 1.6251, 1.6268, 1.6305, 1.6335, 1.6360<\/p>\n

Supports: 1.6212, 1.6178, 1.6146, 1.6119, 1.6065<\/p>\n

Psychological: 1.60, 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 pulled back on heightened volume yesterday only bounce off of our 2nd tier uptrend line this morning.\u00a0 The Pound is experiencing relative strength despite weaker than expected Manufacturing and Construction PMI data along with a disappointing Net Lending to Individuals number.\u00a0 The past two sessions of economic data reveals … <\/p>\n

Continue reading “GBP\/USD Finds Support in our 3rd Tier Uptrend Line Once Again”<\/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-3598","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3598","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=3598"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3598\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=3598"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=3598"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=3598"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}