GBP/USD: general analysis for October 29, 2013

October 29, 2013

Current trend 

The Pound has pushed off from the upper limit of the ascending channel and is trading at the level of 1.6141. In general, the British currency is attractive for investments. The latest economic data showed that British GDP has increased by 0.8% in Q3.

However, economists believe that British economy is far from full recovery. We would like to remind that in August Central Bank of England left interest rate unchanged at the level of 0.5%. Monetary policy will remain unchanged until unemployment rate does not drop below 7%. According to estimates of the Central Bank this process may take up to 3 years. On the other hand, officials are not going to increase volume of quantitative easing in the near future, which will certainly have a positive effect on the Pound rate against other major currencies.

Attention this week shall be paid to fundamental data on sentiment index GFK and mortgage lending in Great Britain.

Support and resistance

The nearest resistance level on the daily chart is 1.6255. Support level: 1.6065.

Trading tips 

It is recommended to open long positions from the level of 1.6265  with the target of 1.6448 and protective orders near 1.6230. 

Dmitry Agurbash

Analysts of LiteForex Group of Companies

Publication source
LiteForex information  LiteForex reviews

February 17, 2017
Golds rally may falter
The gold price has racked up its 2nd straight day of gains today on the back of US dollar weakness and doubts over an interest rate hike next month from the US Federal Reserve...
February 16, 2017
Where is black gold heading?
The Euro is slowly going down and this is not brought on by the Eurozone situation. Instead, this is fueled by the U.S. Dollar. Yesterday, Janet Yellen gave a speech in the Senate Banking Committee emphasising the fact that it Is not quite right to use the wait-and-see stance regarding the interest rate hike...
February 14, 2017
Will France exit the euro?
The Euro has come under pressure late in the European session today, after analysts warned of the huge costs that France would face should they decide to ditch the European currency...

Grand Capital Rating
Fort Financial Services Rating
Exness Rating
XM Rating
Vantage FX Rating
OANDA Rating

99Binary Rating
OptionBit Rating
IQ Option Rating
Banc De Binary Rating
24option Rating
OptionTrade Rating