Monday, September 7, 2015

British Pound Starts the Week on a Bullish Tone



After two weeks of falling, gbp/usd started the week on a positive note. On Sunday open it gaped down, but quickly came up and did not break lower anymore. It moved towards the low during European session, but formed a bullish w pattern on 15 minute chart and is rising now. You may see that intra day resistance is at 1.5273 level (Friday high). Intra day support starts at an even number of 1.5200 with key support being at 1.5160 (Sunday open low). 

There is no key fundamental data today or tomorrow that might impact exchange rate of the pair. On Wednesday GBP Industrial production is to be released at 08:30 GMT. Even more important data is coming on Thursday at 11:00 GMT. Bank of England interest rate decision is scheduled at that time. I have a hunch that US dollar bullish trend might be over for now and British Pound will strengthen from now on. On Friday inflation numbers from UK will also be carefully watched by market participants. Later in the day traders will also get USD U. of Michigan Confidence data, which should not have big influence on the pair.


No comments:

Post a Comment