{"id":6389,"date":"2010-01-29T13:09:43","date_gmt":"2010-01-29T18:09:43","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=6389"},"modified":"2010-01-29T13:09:43","modified_gmt":"2010-01-29T18:09:43","slug":"gbpusd-drops-on-strong-u-s-data-and-negative-sp-statement","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/01\/29\/gbpusd-drops-on-strong-u-s-data-and-negative-sp-statement\/","title":{"rendered":"GBP\/USD Drops on Strong U.S. Data and Negative S&P Statement"},"content":{"rendered":"

By Fast Brokers<\/strong> – Standard and Poors sent the Pound lower today after it released a statement saying that UK banks aren\u2019t the \u2018most stable and low-risk\u2019 in the world, comparing them to financial institutions in Chile and Portugal.\u00a0 Standard and Poors bleak assessment of the UK\u2019s financial industry has resulted in a comparative weakness in the Pound, highlighted by a pop in the EUR\/GBP and emphasized by a large pullback in the Cable.\u00a0 The Cable\u2019s weakness has been exacerbated by stronger than expected U.S. economic data.\u00a0 Strong U.S. GDP, Chicago PMI, and Revised UoM data has sent the Dollar higher across the board as the U.S. looks to be a viable safe haven amongst global uncertainty.\u00a0 The Cable reacted to the U.S. data set by plunging below 1\/22 lows and nearly testing the psychological 1.60 level.\u00a0 However, the Cable seems to be finding strength in our 1st tier uptrend line and is attempting to stabilize to avoid another key technical setback considering our 1st tier runs through December lows, or the 1.585 area.\u00a0 That being said it will be interesting to see how the session plays out considering the volatility we\u2019ve witnessed thus far.\u00a0 Will investors decide to head back to the risk trade, or stick with a strong Dollar theme as the week comes to a close?\u00a0 As for the UK, the economy did get a piece of good news in that Nationwide HPI surpassed analyst estimates.\u00a0 The data train will continue next week with the release of Manufacturing PMI and Net Lending to Individuals on Monday.<\/p>\n

Technically speaking, the Cable has experienced a large setback today and is currently testing some key supports in the form of our 1st tier uptrend line and the psychological 1.60 area.\u00a0 As we stated before, our 1st tier runs through December lows, or the 1.5850 area.\u00a0 As for the topside, the Cable faces multiple downtrend lines along with 1\/8 and intraday highs.<\/p>\n

Present Price: 1.6034<\/p>\n

Resistances: 1.6046, 1.6061, 1.6078, 1.6098, 1.6124, 1.6149<\/p>\n

Supports: 1.6028, 1.6003, 1.5981, 1.5964, 1.5964, 1.5940, 1.5921<\/p>\n

Psychological: 1.60,\u00a0 December lows and highs<\/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 regarded neither 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 – Standard and Poors sent the Pound lower today after it released a statement saying that UK banks aren\u2019t the \u2018most stable and low-risk\u2019 in the world, comparing them to financial institutions in Chile and Portugal.\u00a0 Standard and Poors bleak assessment of the UK\u2019s financial industry has resulted in a comparative weakness … <\/p>\n

Continue reading “GBP\/USD Drops on Strong U.S. Data and Negative S&P Statement”<\/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-6389","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/6389","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=6389"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/6389\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=6389"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=6389"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=6389"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}