{"id":7514,"date":"2010-03-11T12:59:25","date_gmt":"2010-03-11T17:59:25","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=7514"},"modified":"2010-03-11T12:59:25","modified_gmt":"2010-03-11T17:59:25","slug":"gbpusd-climbs-back-above-1-50","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/03\/11\/gbpusd-climbs-back-above-1-50\/","title":{"rendered":"GBP\/USD Climbs Back Above 1.50"},"content":{"rendered":"

By Fast Brokers<\/strong> – The Cable has bounced back above its psychological 1.50 level after Consumer Inflation expectations came in at 2.5%, a basis point above analyst expectations.\u00a0 The price gains we\u2019ve seen in the UK over the past month could keep the BoE at bay, even if the central bank has stated that the price pop is just a result of a return of the VAT.\u00a0 Regardless, investors are sending the Cable higher in speculation that the BoE would likely hold off any increases in QE until it is sure rising prices are a temporary affair.\u00a0 Keep in mind that the BoE places extra emphasis on inflation, so pricing data usually has the potential to move the Pound.\u00a0 The U.S. Trade Balance revealed a smaller deficit than anticipated while Unemployment Claims logged a 6k decline.\u00a0 The initial reaction was negative for the risk trade, though the Dollar is pulling back again as we speak.\u00a0 In the precious metals sector investors should keep an eye on gold.\u00a0 Gold has tumbled back to its psychological $1100\/oz level.\u00a0 Though the Dollar\u2019s correlation with gold hasn\u2019t been reliable lately, it will be interesting to see whether this pullback forebodes a Greenback movement across the board.\u00a0 Attention will remain focused on the U.S. tomorrow with the release of key Retail Sales and UoM Consumer Sentiment data.\u00a0 Strong U.S. consumption figures could breathe some life into the risk trade.\u00a0 On the other hand, since the EU and UK have been mired in uncertainty lately, strong U.S. data could have the opposite effect and send investors scurrying towards the Dollar.\u00a0 Therefore, it will be interesting to see how the Dollar reacts tomorrow since correlations have been a bit unreliable as of late.<\/p>\n

Technically speaking, the Cable has multiple uptrend lines serving as technical cushions along with intraday and 3\/10 lows.\u00a0 As for the topside, the Cable faces multiple downtrend lines along with intraday and 3\/4 highs.\u00a0 Our 2nd tier downtrend line could serve as a key barrier since it runs through previous March highs, or the psychological 1.52 area.\u00a0 Meanwhile, the psychological 1.50 area could become a technical cushion should the Cable continue to solidify above.<\/p>\n

Present Price: 1.5023<\/p>\n

Resistances: 1.5024, 1.5036, 1.5054, 1.5066, 1.5076, 1.5085<\/p>\n

Supports: 1.5003, 1.4989, 1.4980, 1.4971, 1.4959<\/p>\n

Psychological: 1.50, March highs and lows<\/p>\n

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

(click chart to enlarge)<\/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 – The Cable has bounced back above its psychological 1.50 level after Consumer Inflation expectations came in at 2.5%, a basis point above analyst expectations.\u00a0 The price gains we\u2019ve seen in the UK over the past month could keep the BoE at bay, even if the central bank has stated that the … <\/p>\n

Continue reading “GBP\/USD Climbs Back Above 1.50”<\/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-7514","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/7514","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=7514"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/7514\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=7514"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=7514"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=7514"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}