{"id":5708,"date":"2010-01-07T11:25:14","date_gmt":"2010-01-07T16:25:14","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=5708"},"modified":"2010-01-07T11:25:14","modified_gmt":"2010-01-07T16:25:14","slug":"gbpusd-steps-on-our-2nd-tier-uptrend-line","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/01\/07\/gbpusd-steps-on-our-2nd-tier-uptrend-line\/","title":{"rendered":"GBP\/USD Steps on our 2nd Tier Uptrend Line"},"content":{"rendered":"

By Fast Brokers<\/strong> – Yesterday\u2019s UK Services PMI number printed in line and today\u2019s Halifax PMI came in slightly above expectations, creating a positively mixed environment for the Pound.\u00a0 The Pound has gained a little strength in reaction as the EUR\/GBP starts to top out.\u00a0 However, the Cable has given back most of January\u2019s gains and is trying to stabilize above our 2nd tier uptrend line and 12\/30 lows.\u00a0 Despite today\u2019s attempt to set a bottom, there remains a downward force bearing down on the Cable.\u00a0 We witness similar behavior in the EUR\/USD while the USD\/JPY pops.\u00a0 Hence, the FX theme seems to be one of broad-based Dollar strength.\u00a0 However, the question is whether the Dollar is gaining its strength from an inclination to head for safety.\u00a0 The improvement in Western economic data seems to be tapering off, placing more weight on tomorrow\u2019s U.S data set.\u00a0 The U.S. will release its headline Unemployment Rate and Employment Change figures and the data could prove to be a market mover.\u00a0 Investors should keep in mind that December\u2019s Dollar rally was trigger by a turnaround in U.S. employment data.\u00a0 Hence, if tomorrow\u2019s data prints better than expected we could witness another wave of Dollar buying, a negative development for the Cable.\u00a0 On the other hand, disappointing employment numbers could add to speculation that the Fed will maintain a loose monetary policy for a while and allow the Cable to challenge some of our downtrend lines.\u00a0 In addition to tomorrow\u2019s U.S. data, the UK will release PPI.\u00a0 The BoE kept its monetary policy unchanged as anticipated, indicating the central bank is keeping a close eye on inflation to determine whether to scale back some of its QE measures at its next meeting.\u00a0 Hence, it will be interesting to see how tomorrow\u2019s UK PPI turns out.<\/p>\n

Technically speaking, the psychological 1.60 level is serving as a technical barrier once again along with our multiple downtrend lines and January highs.\u00a0 As for the downside, our near-term technical cushions are wearing thing with our 1st and 2nd tier uptrend lines sitting nearby along with December \u201909 lows.\u00a0 December\u2019s downturn was a key development for the Cable.\u00a0 Hence, if our present technical cushions don\u2019t hold the Cable may fall back towards September \u201909 lows.<\/p>\n

Present Price: 1.5930<\/p>\n

Resistances: 1.5973, 1.5995, 1.6024, 1.6058, 1.6085, 1.6107<\/p>\n

Supports: 1.5928, 1.5901, 1.5876, 1.5848, 1.5823, 1.5789<\/p>\n

Psychological: 1.60, December highs and lows, September lows<\/p>\n

(click to enlarge)<\/p>\n

\"\"<\/a><\/p>\n

Market Commentary<\/strong><\/em> provided by Fast Brokers<\/strong>.<\/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 – Yesterday\u2019s UK Services PMI number printed in line and today\u2019s Halifax PMI came in slightly above expectations, creating a positively mixed environment for the Pound.\u00a0 The Pound has gained a little strength in reaction as the EUR\/GBP starts to top out.\u00a0 However, the Cable has given back most of January\u2019s gains … <\/p>\n

Continue reading “GBP\/USD Steps on our 2nd Tier Uptrend Line”<\/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-5708","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/5708","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=5708"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/5708\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=5708"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=5708"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=5708"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}